Makersburry India Pvt. Ltd. Vs State of Maharashtra (Bombay High Court)
The petition challenged the cancellation of GST registration and the appellate order affirming such cancellation, arising from a show cause notice dated 22 August 2022. The notice alleged that registration was obtained by fraud, wilful misstatement, or suppression of facts and simultaneously suspended the registration. The petitioner responded by submitting documents, statements of directors, and evidence of business activities, including details already uploaded at the time of registration and materials provided during departmental visits.
Despite this, the designated officer passed an order dated 17 October 2022 cancelling the registration retrospectively from 10 April 2021, stating that no business activity or stock was found and that the petitioner’s reply was not relevant. The petitioner contended that these findings ignored the materials submitted and reflected non-application of mind. An appeal was filed along with extensive documentation, including financial statements, invoices, stock records, agreements, and bank statements. Additional submissions and documents were also provided on multiple dates.
The appellate authority rejected the appeal, concluding that the petitioner failed to prove business activity and that registration was obtained through fraud or misstatement. However, the order contained no discussion or analysis of the documents submitted. The petitioner argued that both the cancellation and appellate orders were arbitrary, lacked reasons, and violated principles of natural justice.
