Case Law Details
OSL Exclusive Pvt. Ltd. Vs Union of India & Ors. (Calcutta High Court)
In the case of OSL Exclusive Pvt. Ltd. vs Union of India & Ors., the petitioner challenged an adjudication order dated November 30, 2023, under the CGST/WBGST Act, 2017. This order was based on notifications issued on July 5, 2022, and March 31, 2023, which extended the time limit for passing orders under Section 73(9) of the Act. The petitioner argued that these notifications were arbitrary, illegal, and beyond the jurisdiction of the authorities. They further sought a declaration invalidating the notifications and contended that other High Courts had provided relief in similar cases by restraining recovery of demand.
After hearing the arguments, the Calcutta High Court found that the issues raised involved significant legal questions requiring detailed examination. The court acknowledged the petitioner’s prima facie case and granted interim relief by restraining authorities from taking coercive recovery actions until July 31, 2024, or further orders. The court directed both parties to file their affidavits within specified timelines and listed the matter for final hearing in July 2024.
FULL TEXT OF THE JUDGMENT/ORDER OF CALCUTTA HIGH COURT
Affidavit of service filed by the petitioner be kept with the record.
Heard learned advocates appearing for the parties.
By this writ petition petitioner has challenged the impugned adjudication order dated 30th November, 2023 being annexure P/3 to the writ petition passed on the basis of notification dated 5th July, 2022 being annexure P/11 and notification dated 31st March, 2023 being annexure P/13 by extending the time limit to pass order under Sub- Section 9 of Section 73 of the CGST/WBGST Act, 2017, in alleged wrongful exercise of power under Section 168A read with Section 73(10) of the said Act and petitioner has prayed for declaration of the aforesaid notification as arbitrary and illegal and being without jurisdiction.
Petitioner in support of his contention for quashing of the impugned adjudication order and for declaration of the aforesaid notifications as arbitrary submits that several High Courts have entertained the writ petitions and has restrained the recovery of demand in such cases.
Considering the facts and circumstances of this case and submission of the parties I am of the view that the issues involved in this writ petition require adjudication on exchange of affidavits by the parties and petitioner has also been able to make out a prima facie case for interim relief.
Considering the facts and circumstances of this case and submission of the parties and in view of involvement of pure question of law this writ petition is admitted.
Let the respondents file affidavit-in-opposition within four weeks, petitioners to file reply thereto, if any, within two weeks thereafter.
The respondent authority concerned shall not take any coercive steps for recovery of the demand in question arising out of the aforesaid impugned order till 31st July, 2024 or until further order whichever is earlier.
List this matter for final hearing in the monthly list of July, 2024.
At the time of hearing, parties should be ready with the short written notes of arguments
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