Future Consumer Limited Vs Union of India And Ors. (Delhi High Court)
The Delhi High Court, in the case of Future Consumer Limited Vs Union of India And Ors., addressed the validity of an unsigned Goods and Services Tax (GST) Order-in-Original (O-in-O) and the requirement for a personal hearing when a rectification application is rejected. The court provided clarity on procedural compliance in the digital GST environment and reinforced the mandatory nature of the principles of natural justice.
Challenge to the Unsigned Order-in-Original
The Issue: Future Consumer Limited (the Petitioner) challenged a GST O-in-O dated August 24, 2024, raising a demand against the company, primarily on the ground that the order did not bear the signature of the official who passed it, thereby contending it was invalid and liable to be set aside.
The Respondent’s Contention: The Union of India, represented by its counsel, countered this argument by stating that the O-in-O was accompanied by a Form DRC-07 (Summary of the order) which contained the name, designation, and other necessary details of the concerned officer. Furthermore, it was submitted that the GST portal’s mechanism, particularly post-June 1, 2024, ensures that every officer uploading an order must include their credentials, thereby preventing irregularities.
