Delhi High Court - Orders
Nanu Ram Goyal vs Commissioner Of Cgst And Central ... on 10 November, 2022
Author: Rajiv Shakdher
Bench: Rajiv Shakdher
$~20
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P.(C) 13906/2022
NANU RAM GOYAL ..... Petitioner
Through: Ms Kavita Jha with Mr Shammi
Kapoor and Mr Vishal Kumar, Advocates.
versus
COMMISSIONER OF CGST AND CENTRAL EXCISE, DELHI &
ORS. ..... Respondents
Through: Mr R. Ramachandran, Sr. Standing
Counsel for respondents no.1 and 2.
Ms Archana Sharma, Advocate for respondent
no.3.
CORAM:
HON'BLE MR JUSTICE RAJIV SHAKDHER
HON'BLE MS JUSTICE TARA VITASTA GANJU
ORDER
% 10.11.2022 [Physical Hearing/Hybrid Hearing (as per request)] CM APPL. 42524/2022
1. Allowed, subject to the petitioner filling legible copies of the annexures, at least three days before the next date of hearing.
W.P.(C) 13906/2022 & CM APPL. 42523/2022[Application filed on behalf of petitioner seeking interim relief]
2. The principal grievance of the petitioner is that a show cause notice which was issued on 27.02.2009 is sought to be revived in 2022.
W.P.(C) 13906/2022 page 1 of 4 Signature Not Verified Digitally Signed By:ATUL JAIN Signing Date:12.11.2022 18:00:31
3. The record shows that insofar as the aforementioned show cause notice was concerned, reply dated 09.10.2009 was filed. We are informed that thereafter, personal hearing was also granted to the petitioner's representative on 02.07.2010.
3.1. It appears that respondent no.1, after nearly twelve (12) years, served a letter dated 02.08.2022 on the petitioner fixing a date for personal hearing. The date fixed for hearing, as per the said letter, was 10.08.2022. 3.2. The petitioner, it appears, sought an adjournment.
4. Mr R. Ramachandran, who appears on behalf of the contesting respondents i.e., respondents no.1 and 2, has placed before us a hard copy of a circular dated 26.05.2003.
4.1. Based on this circular, Mr Ramachandran submits that respondents place matters in a "call book"- inter alia, if the issue which arises for consideration in a case is also subject matter of an action pending adjudication in a superior forum.
5. Mr Ramachandran has also placed before us the extract of the note made by the concerned Commissioner, on 08.07.2009, which is indicative of the fact that the instant matter was consigned to the "call book" in view of another matter pending consideration before the Supreme Court. 5.1. In this regard we are informed that the matter pending before the Supreme Court at the relevant time was Commissioner of Central Excise and Service Tax, Karnataka v. M/s Shobha Developers Ltd. [Civil Appeal No. 9819-20/2010].
W.P.(C) 13906/2022 page 2 of 4 Signature Not Verified Digitally Signed By:ATUL JAIN Signing Date:12.11.2022 18:00:31 5.2. Furthermore, Mr Ramachandran [based on another extract which was generated on 30.11.2015], says that when the status of Shobha Developers Ltd. was reviewed, it was found that the matter was pending adjudication, and hence the instant matter continued to remain part of the callbook.
6. That said, concededly, the judgment in Shobha Developers Ltd. was rendered by the Supreme Court in January 2017.
6.1 Clearly, at no point in time, the petitioner i.e., the noticee, was informed that such a procedure was being followed. 6.2. Although, Ms Kavita Jha, in fairness, does not dispute that such a circular exists and the procedure encapsulated therein is in vogue, in our view, it was incumbent on the respondents to inform the petitioner/noticee as to why the show cause notice was not being adjudicated. 7.1. In our opinion, the assessees need to arrange their affairs and prepare themselves for bearing the burden of the financial liability that may befall them.
8. At this juncture, there is no explanation as to why, after January 2017, no steps were taken to adjudicate the subject show cause notice.
9. We are of the view that the matter needs examination.
10. Accordingly, issue notice.
10.1 Mr Ramachandran accepts notice on behalf of respondents no.1 and 2, while Ms Archana Sharma accepts notice on behalf of respondent no.3.
11. Counter-affidavit (s) will be filed within six weeks. 11.1 Rejoinder (s) thereto, if any, will be filed before the next date of hearing.
W.P.(C) 13906/2022 page 3 of 4 Signature Not Verified Digitally Signed By:ATUL JAIN Signing Date:12.11.2022 18:00:31
12. List the matter on 27.01.2023.
13. In the meanwhile, the operation of the impugned show cause notice shall remain stayed.
14. For the purposes of good order and record, the Registry will scan and upload the copy of the aforementioned circular and other documents placed before us [i.e. extracts from the official record], so that the same remain embedded in the case file.
RAJIV SHAKDHER, J
TARA VITASTA GANJU, J
NOVEMBER 10, 2022 / tr
W.P.(C) 13906/2022 page 4 of 4
Signature Not Verified
Digitally Signed
By:ATUL JAIN
Signing Date:12.11.2022
18:00:31