Brass Scrap and Vehicle Released in Transit Detention Case Upon Payment of Rs. 17,66,620 Under GST Proceedings

The HC disposed of a writ application under Article 226 challenging detention of goods in transit and seizure of conveyance during GST proceedings. Without examining merits, the court directed authorities to release the detained brass scrap goods and conveyance upon petitioner's deposit of Rs. 17,66,620 toward tax and penalty. The court allowed the GST MOV-10 inquiry to continue despite the release. Both parties agreed to this arrangement, with the petitioner (a proprietary concern from Maharashtra) having expressed willingness to make the deposit for immediate release of goods being transported to Gujarat.

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Issues:
1. Writ-application under Article 226 of the Constitution of India seeking relief for quashing confiscation notice and releasing detained goods and conveyance.
2. Detention of goods in transit, seizure of conveyance, and inquiry at the stage of GST MOV-10.
3. Dispute involving tax and penalty amount of Rs. 17,66,620 for release of goods and conveyance.
4. Decision on releasing goods and conveyance subject to depositing the specified amount.
5. Disposal of writ-application with direction to release goods and conveyance while allowing continuation of inquiry.

Analysis:
The writ-application under Article 226 of the Constitution of India sought relief for quashing the confiscation notice and releasing the detained goods and conveyance. The petitioner, a Proprietary Concern from Thane, Maharashtra, registered under the Central/Maharashtra Goods and Services Tax Act, 2017, had dispatched Brass Scrap goods to parties in Gujarat. However, during transit, the conveyance was seized and detained, leading to the inquiry at the stage of GST MOV-10. The petitioner expressed readiness to deposit Rs. 17,66,620 towards tax and penalty for the release of goods and conveyance.

The court heard arguments from both parties, with the learned counsel for the petitioner emphasizing the willingness to deposit the specified amount for release. The learned AGP for the State respondents agreed that upon deposit, the goods and conveyance could be released, allowing the inquiry to proceed at the GST MOV-10 stage. The court, without delving into the case's merits, directed the respondent to release the goods and conveyance upon the petitioner's deposit of Rs. 17,66,620. The decision clarified that the inquiry could continue at the said stage, and the writ-application was disposed of accordingly, with the rule made absolute to that extent. Direct service was permitted in the matter.

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