Petitioner Successfully Challenges GST Vehicle Confiscation Order, Granted Opportunity to Explain Circumstances Under Section 130

HC allowed petitioner's challenge to GST vehicle confiscation order under section 130, directing submission of an affidavit to fifth respondent explaining circumstances and potential lack of knowledge about vehicle misuse. The court instructed fifth respondent to review the affidavit and make a decision within ten days, providing an opportunity for the petitioner to contest the confiscation order.

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Issues: Challenge to confiscation order under section 130 of the Karnataka Goods and Services Tax Act, 2017.

Analysis:
The petitioner challenged the fifth respondent's confiscation order dated February 6, 2021, under section 130 of the Karnataka Goods and Services Tax Act, 2017. It was acknowledged that the fifth respondent could only entertain the request for the release of the vehicle upon adjudication regarding the petitioner's involvement or knowledge of the misuse of the registered vehicle, which was transferred to a transporter by the petitioner. The court allowed the petitioner to submit an affidavit before the fifth respondent to present circumstances negating any connivance or knowledge of misuse, directing the fifth respondent to make a decision based on the affidavit.

In a similar situation, the court had previously permitted concerned parties to file affidavits before the fifth respondent to clarify any connivance or knowledge of misuse, leading to suitable orders by the fifth respondent based on the affidavit. The court emphasized the importance of granting the petitioner the opportunity to submit an affidavit before the fifth respondent, instructing the fifth respondent to make appropriate decisions within a specified timeframe in accordance with the law. Consequently, the court disposed of the petition, allowing the petitioner to file the affidavit with the fifth respondent before January 30, 2023, and directing the fifth respondent to make suitable orders within ten days from the submission of the affidavit.

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