Utkarsh Arora Prop of M/S Aura Interior Hardware Vs Additional Commissioner CGST (Delhi High Court)
Delhi High Court held that writ jurisdiction not entertained as the case involved fraudulent availment of Input Tax Credit under GST. Accordingly, petition dismissed and petitioner permitted to file an appeal before appellate authority.
Facts- An investigation was initiated against three firms, namely, M/s Shreya Impex, M/s Akshita Enterprises and M/s Modern Metal Industries for availment of inadmissible Input Tax Credit on the basis of goods-less invoices. All these firms were managed by one Sh. Vijay Prakash Sharma who was the proprietor of M/s Shreya Impex. His family members e., his wife was the proprietor of M/s Akshita Enterprises and Sh. Vikky Gupta who was the accountant of Sh. Vijay Prakash Sharma, was the proprietor of M/s Modern Metal Industries.
The further allegation is that inspections were conducted and investigation was also conducted along with searches and it was noticed that there were 23 firms which had utilized and availed fake ITC of Rs. 1,22,26,83,520/- without actual receipt of goods. Insofar as the remaining entities involved in these transactions are concerned, they had enabled the availment of fraudulent ITC. The Petitioner herein is mentioned at serial no.174 in the impugned order as M/s Aura Interior Hardware and a demand to the tune of Rs.1,14,114/- along with penalty has been raised upon the Petitioner.
