Navneet Bansal Vs Additional Commissioner CGST Delhi North (Delhi High Court)
In Navneet Bansal Vs Additional Commissioner CGST Delhi North, the Delhi High Court considered a writ petition filed under Article 226 of the Constitution challenging an Order-in-Original dated 28 November 2024, which imposed a penalty of ₹1,63,36,788 under Rule 26 of the Central Excise Rules, 2002 read with Section 174 of the CGST Act, 2017. The order arose from a Show Cause Notice issued on 7 May 2021 following investigations by the Directorate General of GST Intelligence (DGGI), Delhi Zonal Unit, into alleged fraudulent availment of CENVAT credit through issuance of invoices without actual supply of goods.
The investigation stemmed from intelligence regarding fake invoices relating to goods such as PVC Resin SP. Searches conducted in December 2020, including at the premises of M/s Saraswati Printers, led to statements indicating that the petitioner was involved in issuing invoices without supply of goods in return for commission. The petitioner’s own statement, recorded during a search on 6 January 2021, admitted issuance of invoices without actual supply between June 2016 and March 2017, receipt of commission, and return of cash after deducting commission. The investigation also noted discrepancies in vehicle numbers mentioned on invoices, indicating transport capacity inconsistencies.
