Court denies interim relief to lift bank account attachment under CGST Act, sets expedited hearing schedule for compliance

The court rejected the petitioner's request for interim relief to lift the attachment of their bank account under section 83(1) of the CGST Act, citing the need to meet exceptions set by the SC. The court directed the adjudicating authority to promptly decide the show-cause notice, granting a hearing opportunity to the petitioner within two months. The Principal Commissioner's office was urged to expedite proceedings, with a compliance reporting scheduled for January 2022 and parties instructed to complete pleadings. All contentions were to be presented before the adjudicating authority during the proceedings.

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Issues:
1. Challenge to attachment of bank account under section 83(1) of the CGST Act.
2. Allegation of mala fide action by the office of the Principal Commissioner.
3. Request for interim relief to lift the order of attachment.
4. Delay in concluding proceedings despite the petitioner's response to the show-cause notice.
5. Request for time extension to complete proceedings.
6. Direction to the adjudicating authority to decide the show-cause notice promptly.

Analysis:
1. The petitioner challenged the attachment of their bank account under section 83(1) of the CGST Act, initiated by the office of the Principal Commissioner. The petitioner sought interim relief to lift the attachment, alleging mala fide action. However, the court rejected the prayer for interim relief, citing the need to satisfy exceptions laid down by the Supreme Court in previous cases.

2. The court noted the proactive approach of the Principal Commissioner's office in attaching the bank account without waiting for court orders. Despite the petitioner's response to the show-cause notice, the proceedings were yet to conclude. The respondents requested a six-month extension to complete the proceedings, while the petitioner indicated no intention to file further replies. The court directed the adjudicating authority to decide the show-cause notice promptly, granting an opportunity of hearing to the petitioner, preferably within two months from the date of the court's order.

3. The court emphasized the need for the Principal Commissionerate to act promptly and conclude the proceedings without delay. The writ petition was scheduled for compliance reporting in January 2022, with parties instructed to complete their pleadings in the meantime. All contentions were left open for the petitioner to present before the adjudicating authority during the proceedings.

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