HC dismisses petition against detention order directs Assessee to seek redress from Revenue Authority

Mahant Steel Vs State of Gujarat (Gujarat High Court)

Introduction: The case of Mahant Steel vs. State of Gujarat before the Gujarat High Court involves a petition filed under Article 226 of the Constitution of India seeking redressal against the detention of goods and issuance of notice for confiscation. However, the court’s judgment dismisses the petition, directing the petitioner to seek remedies through appropriate channels.

Detailed Analysis:

1. Petition’s Prayers: The petitioner seeks various reliefs, including quashing the order of detention and notice for confiscation, releasing the detained goods, granting interim relief, and other appropriate reliefs under the GST Act, 2017. The petitioner alleges no illegality in the procurement of goods and urges for their immediate release.

2. Court’s Response: The court acknowledges the petitioner’s prayers but dismisses the petition on the grounds that the petitioner has already filed a reply to the show-cause notice issued by the respondent in Form GST MOV-10. The court advises the petitioner to seek redressal through the respondent authority rather than through the court.

3. Dismissal of Petition: In light of the petitioner’s submission of a reply to the show-cause notice, the court deems the petition redundant and directs the petitioner to approach the respondent authority for resolution of the raised grievances. Consequently, the petition is dismissed.

Conclusion: The Gujarat High Court’s judgment in Mahant Steel vs. State of Gujarat dismisses the petitioner’s plea seeking redressal against the detention of goods and issuance of notice for confiscation under the GST Act, 2017. The court advises the petitioner to pursue remedies through the appropriate administrative channels rather than through judicial intervention. This judgment underscores the importance of exhausting administrative remedies before seeking recourse through the courts.

FULL TEXT OF THE JUDGMENT/ORDER OF GUJARAT HIGH COURT

1. Learned advocate Mr. Bhuvnesh Gahlot for the petitioner has tendered the draft amendment. The same is allowed in terms of the draft. To be carried out forthwith.

2. This petition is filed under Article 226 of the Constitution of India with the following prayers:

“8A. Your Lordships may be pleased to admit and allow the present petition;

B. Your Lordships may be pleased to issue appropriate writ or order or directions and may be pleased to quash and set aside the order of detention dated 16.12.2023 (Annexure G) and notice for confiscation dated 23.12.2023 (Annexure H) to the only extent of releasing goods of the petitioner only as no illegality has been caused by the petitioner in purchasing the goods rather same has been committed by the transporerin the interest of justice;

C. Your Lordships may be pleased to issue of appropriate writ or order or direction upon the respondent authorities to release goods in vehicle No. GJ-04-X-7878MS Flat and Bars and Round Bars weighting 27.060 Ton worth of Rs. 16,29,453/- immediately from the passing an order by this Hon’ble Court in the interest of justice;

D. Your Lordships may be pleased to grant interim relief by way of issuing appropriate directions to the respondent authorities to release goods in vehicle No. GJ-04-X-7878MS Flat and Bars and Round Bars weighting 27.060 Ton worth of Rs. 16,29,453/- pending admission and final hearing of the present petition;

E. To grant such other and further reliefs as this Hon’ble Court in the facts and circumstances of the case deems fit and proper;

F. Your Lordships may be pleased to issue appropriate writ or order or direction and be pleased to quash and set aside the action of the respondent authorities of not releasing the goods under the mandatory provision of section 67(6) of the CGST Act,2017 despite an application dated 12.01.2024 has been made to the respondent authorities for release of goods;

G. Your Lordships may be pleased to issue appropriate writ or order or direction and be pleased to direct the respondent authorities to release the goods under section 67(6) by considering the application dated 12.01.2024 within a period of one week from the date of order passed by this Hon’ble Court.”

3. As the petitioner has already filed the reply to the show-cause notice issued by the respondent in Form GST MOV-10, this petition is not entertained and the petitioner is relegated to approach the respondent authority for redressal of the grievance raised in this petition.

The petition is accordingly dismissed.