Court Grants Petitioner Stay on Coercive Recoveries to Clear Dues

The court granted the petitioner installments for clearing government dues, enforcing a stay against coercive recoveries. Despite the respondent's failure to file a reply, the petitioner raised concerns about the tax department enforcing a garnishee order on ONGC. The court emphasized that coercive recoveries should not occur during the interim stay, preventing direct pressure on ONGC to pay the dues. A notice was issued, staying communication enforcing coercive actions, clarifying that compliance with the interim order should prevent compulsion on debtors to pay directly to the department.

---

---

Issues:
- Granting installments for clearing Government dues
- Enforcement of garnishee order by the tax department
- Coercive recoveries of dues during the pendency of an interim order

Analysis:
The judgment revolves around the petitioner seeking installments for clearing significant outstanding dues to the tax department due to extreme financial hardship. Initially, an order was passed directing the petitioner to pay GST dues in installments, with a stay against coercive recoveries upon compliance with specified conditions. However, the respondent failed to file a reply by the subsequent hearing date. The petitioner raised concerns about the tax department enforcing a garnishee order on ONGC, despite complying with the interim order's terms. The court emphasized that coercive recoveries should not be pursued while the interim stay is in place, preventing the department from pressuring ONGC to pay the dues directly. A further notice was issued, and the communication enforcing coercive actions was stayed, clarifying that compliance with the interim order should prevent any compulsion on debtors to pay directly to the department.

---