Conditional interim stay against GST circular and notices granted, with deposit and bank guarantee required to balance enforcement interests.

Pending challenge to GST classification, the Court granted conditional interim protection against the impugned circular and show cause notices. It stayed their operation on the petitioner furnishing a substantial cash deposit and a bank guarantee for the balance, thereby preventing immediate coercive action. The Court also preserved the respondents' adjudicatory process, clarifying that adjudication could continue but no effect could be given to it without leave of the Court. The relief was therefore limited and conditional, balancing interim protection for the petitioner with safeguards for revenue enforcement.

---

---

Issues: Whether, pending further consideration, the operation of the impugned circular and show cause notices should be stayed, and if so, on what conditions.

Analysis: The writ petition raised a challenge to the classification of certain goods under the GST regime and to the consequential circular and show cause notices. At the interim stage, the Court protected the petitioner against immediate coercive effect of the circular and the notices, while balancing the respondents' interest by requiring a substantial cash deposit and a bank guarantee for the balance. The Court also clarified that the adjudication could continue, but no effect could be given to it without leave of the Court.

Conclusion: The operation of the impugned circular and show cause notices was stayed subject to the petitioner making the directed deposit and furnishing the required bank guarantee. The interim protection was granted in favour of the petitioner, but the adjudication was not interdicted absolutely.

Final Conclusion: The order granted conditional interim relief and preserved the adjudicatory process without permitting enforcement against the petitioner during the subsistence of the stay.

---