GST Auction Notice Challenged: Writ Petition Succeeds, Appeal Rights Restored and Auction Suspended Pending Merits Review

HC allowed petitioner's writ petition challenging GST auction notice. Court quashed endorsement blocking appeal and directed Appellate Authority to consider appeal on merits. Petitioner granted opportunity to deposit mandatory 10% tax amount within specified timeframe. Auction of confiscated goods suspended pending appeal resolution.

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Issues involved: Petitioner seeks quashing of an endorsement and an auction notice issued without jurisdiction.

Summary:
The petitioner appealed u/s 107 of the Central Goods and Services Act, 2017 against a confiscation order, but failed to deposit 10% of the tax amount as required. The first respondent issued an endorsement informing the petitioner of this requirement. As the petitioner did not comply, an endorsement was issued stating that the appeal cannot be admitted, followed by an auction notification. The petitioner requested an opportunity to comply with the deposit requirement, stating that he was unaware of the endorsement due to it being sent via email. The court allowed the petitioner to comply with the deposit requirement within a specified time frame. The court directed the petitioner to appear before the Appellate Authority, file objections to the endorsement, and stated that no action should be taken to dispose of the confiscated goods until the appeal is decided. The endorsement was quashed, and the Appellate Authority was directed to consider the appeal on its merits.

In conclusion, the court partially allowed the writ petition, quashing the endorsement and providing the petitioner with an opportunity to comply with the deposit requirement. The Appellate Authority was directed to consider the appeal on its merits, and no action was to be taken to dispose of the confiscated goods until the appeal process was completed.

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