Interim protection against administrative charges granted with separate accounts and GST compliance conditions

Interim protection was granted against demand of administrative charges under the Uttar Pradesh Sheera Niyantran Adhiniyam, 1964, with the Court noting analogous interim relief in connected matters. The petitioner was permitted to continue operations pending further hearing, but only on condition that separate accounts be maintained for the sale, supply and purchase of molasses and that GST deposits continue as required under the relevant enactments. The relief was therefore limited and conditional, balancing interim protection with accounting discipline and tax compliance.

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Issues: Whether interim protection should be granted restraining the respondents from demanding administrative charges, and whether the petitioner should be required to maintain separate accounts while continuing GST deposits.

Analysis: The petitioner relied on the statutory scheme under Section 7A(4) of the Uttar Pradesh Sheera Niyantran Adhiniyam, 1964 and the pendency of connected proceedings in which similar interim protection had been granted. The respondents did not dispute that interim protection had been extended in analogous matters. In the circumstances, the Court found it appropriate to protect the petitioner pending further hearing, while preserving accountability by requiring maintenance of separate accounts for the sale, supply and purchase of molasses and directing compliance with GST deposits as demanded under the relevant enactments.

Conclusion: Interim protection was granted restraining demand of administrative charges, subject to continued deposit of GST and maintenance of separate accounts.

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