GSPR Developers Private Limited Vs State of West Bengal & Ors. (Calcutta High Court)
The Calcutta High Court considered whether the First Appellate Authority was justified in dismissing an appeal filed under Section 107 of the Central Goods and Services Tax Act, 2017, on the ground of limitation despite the petitioner having paid the mandatory pre-deposit under Section 107(6) and having shown sufficient cause for the delay. The Court also examined the validity of the initiation and continuation of garnishee/recovery proceedings during the pendency of the appeal.
The adjudicating authority passed an order under Section 173 of the Act on 27.02.2025. According to the petitioner, the order was communicated only to the registered email ID and mobile number of its Chartered Accountant, who had exclusive control over the GST portal credentials. Due to the Chartered Accountant’s professional lapse, the petitioner’s management was not informed of the proceedings and became aware of them only on 29.05.2025 after recovery proceedings had been initiated.
Pursuant to the recovery notice, Rs. 74,00,000 was debited from the petitioner’s bank accounts through garnishee proceedings. After becoming aware of the order, the petitioner filed an appeal before the First Appellate Authority and paid the mandatory pre-deposit of Rs. 14,58,320 as required under Section 107(6).
