Nutech Appliances Vs Superintendent (Delhi High Court)
The Delhi High Court addressed the case of Nutech Appliances, which challenged a GST registration cancellation order dated 27.05.2023. The order, which was retroactively applied from 22.04.2018, followed a Show Cause Notice (SCN) issued on 25.04.2023 that vaguely alleged fraud, misstatement, or suppression of facts without providing specific details. The petitioner was given a short time to respond and had their registration suspended immediately. Despite attempts to address the issues and apply for revocation, the subsequent notices lacked clarity and did not provide statutory grounds for further requirements like obtaining a No Objection Certificate. The court found the SCN and cancellation order deficient in detail and not compliant with natural justice principles, as the petitioner could not respond meaningfully to vague allegations. The court ruled to set aside the SCN and cancellation order, directing the restoration of the petitioner’s GST registration. The court’s decision underscores the necessity for clear, detailed show cause notices and adherence to procedural fairness.
FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT
1. The petitioner has filed the present petition, inter alia, impugning the order dated 27.05.2023 (hereafter the impugned order), whereby the petitioner’s Goods and Services Tax (GST) registration was cancelled with retrospective effect from 22.04.2018.
