D.V Constructions Vs Union of India (Karnataka High Court)
The writ petition challenged multiple GST proceedings initiated against the petitioner, including a show cause notice dated 30.12.2023 under Section 73(1), an adjudication order dated 26.03.2024 passed under Section 73(9) confirming a demand of ₹68,56,241 with interest and penalty, summaries issued in Forms GST DRC-01 and DRC-07, an intimation under Section 73(5), and an earlier order cancelling GST registration dated 08.08.2022. The petitioner also questioned the validity of extension notifications issued under Section 168A of the CGST/KGST Acts and sought directions for unfreezing bank accounts and restoration of registration.
The petitioner contended that the adjudication order was passed ex parte without granting an opportunity of personal hearing, as the notices were not received, and that the proceedings initiated pursuant to the show cause notice were barred by limitation under Section 73(10). It was further submitted that the validity of the extension notifications relied upon by the department was pending consideration before the Supreme Court in a Special Leave Petition, and therefore continuation of the proceedings would be premature. With respect to cancellation of registration, the petitioner stated that if the cancellation order was set aside, returns would be filed and taxes paid.
