Ganpati Polymers Through It Proprietor Prop . Ankur Jain Vs Commissioner of Central Goods And Service Tax And Another (Delhi High Court)
Delhi High Court dismissed the writ petition and imposed cost of Rs. 50,000/- for non-participating in proceedings relating to utilization of inadmissible ITC received from non-existent firm. Further, petitioner is directed to avail appellate remedy.
Facts- The present petition has been filed by the Petitioner – Ganpati Polymers through its proprietor Mr. Ankur Jain under Article 226 of the Constitution of India, inter alia, challenging the Show Cause Notice dated 5th August, 2024 as also the impugned Order-in-Original dated 1st February, 2025 along with DRC-07 dated 9th February, 2025.
The issue in the present petition relates to fraudulent availment of the Input Tax Credit by firms, which are non-existent and availment and utilization of inadmissible ITC by the Petitioner.
Conclusion- It is a matter of practice of the GST Department that the notices for personal hearing and notices for replies to be filed are all uploaded on the GST Portal. The Petitioner was well aware of the complete investigation that was going on against him and such callous conduct on behalf of the Petitioner cannot be condoned by the Court where the Petitioner chooses not to even participate in the proceedings in any manner whatsoever. The matter relates to alleged fraudulent availment of ITC in respect of which the demand has been raised. Accordingly, the present writ petition, along with all pending applications is dismissed with a cost of Rs.50,000/- to be deposited with the Delhi High Court Bar Association within two weeks.
