State of Punjab & Ors. Vs Jagseer Singh (Supreme Court of India)
Supreme Court addressed appeals in the case of State of Punjab & Ors. vs. Jagseer Singh, concerning confiscated goods and vehicles under the Central Goods and Services Tax (CGST) Rules, 2017. The High Court had granted interim relief to the respondents by allowing the release of goods and vehicles upon depositing only 25% of the demanded amount and furnishing personal surety bonds for the balance. The State argued that such relief jeopardized revenue recovery as no proper bank guarantee was secured. The appellant-State highlighted the precedent in The Deputy Assistant Commissioner vs. M/s Matrix Traders to assert that such interim orders, passed without hearing the State’s perspective, could not serve as precedents.
The Supreme Court found merit in the State’s arguments, observing that the High Court had granted interim relief equivalent to the primary relief sought in the petitions, without assessing the merits or hearing the State adequately. The Court set aside the High Court’s orders and remanded the matters for reconsideration, emphasizing that any interim relief must align with legal provisions and ensure the State’s revenue interests are safeguarded. Pending applications were also disposed of, with the Court refraining from making observations on the merits of the case.
