Importance of Exhausting Statutory Appeals Before Challenging Assessment Orders

The Court emphasized the importance of exhausting statutory appeal remedies before challenging assessment orders under the Tamil Nadu Goods and Services Tax Act, 1956. It highlighted the appellate authority as the final fact-finding body and stressed that judicial review under Article 226 is to scrutinize decision-making processes, not decisions themselves. The Court directed the petitioner to appeal before the jurisdictional appellate authority within four weeks, aiming for expeditious resolution within three months. The Writ Petitions were disposed of with this directive, without costs, and related Miscellaneous Petitions were closed.

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Issues involved:
Challenging assessment orders under Tamil Nadu Goods and Services Tax Act, 1956 without exhausting statutory appeal remedy.

Analysis:
The petitioner challenged assessment orders passed by the 1st respondent, citing violations of the Tamil Nadu Goods and Services Tax Act, 1956 and decisions of the Division Bench of the Court. However, the Court emphasized that the petitioner had not exhausted the statutory appeal remedy available under the Act. The Court highlighted the importance of adjudication before the appellate authority in cases involving disputed facts, as the appellate authority serves as the final fact-finding body. It stated that the High Court cannot review original proceedings as the appellate authority is better equipped to scrutinize documents and evidence to make informed decisions.

The Court reiterated that exhausting the appellate remedy is a rule to be followed, as it ensures redressal of grievances in accordance with the law. While acknowledging that writ proceedings can be entertained before exhausting the appellate remedy, the Court emphasized that such exceptions should only be made in cases of imminent threat or gross injustice warranting urgent relief. Mere violation of natural justice principles is deemed insufficient to bypass the appellate process. The Court stressed that the statutory appellate authorities are crucial as final fact-finding bodies, and their findings are essential for the High Court's judicial review under Article 226 of the Constitution of India.

Furthermore, the Court underscored that the power of judicial review under Article 226 is to scrutinize the decision-making processes, not the decisions themselves. It cautioned against routinely entertaining writ petitions without exhausting the appellate remedy, as it could undermine the appellate institutions and their expertise in specific fields. The Court emphasized the value of fact-finding by appellate forums in providing complete justice to litigants and discouraging the practice of filing writ petitions to avoid statutory pre-deposits and lengthy appellate processes.

In conclusion, the Court directed the petitioner to prefer an appeal before the jurisdictional appellate authority within four weeks, following prescribed formats and rules. The appellate authority was instructed to consider the appeal on merits and in accordance with the law, providing the petitioner with an opportunity and aiming to issue final orders expeditiously, preferably within three months. The Court disposed of the Writ Petitions with this direction, without imposing any costs, and closed the connected Miscellaneous Petitions.

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