Penalty upheld for goods transport without valid e-way bill generated before vehicle detention under relevant GST rules

The HC dismissed the petition challenging the penalty for transporting goods without a valid e-way bill. The court held that since the e-way bill was generated only after the vehicle was detained, the petitioner could not avoid penalty by producing it subsequently. Accepting such a plea would encourage generating e-way bills post-detention, defeating the statutory purpose. Reliance on a prior judgment was rejected as that case involved an e-way bill generated before detention, unlike the present facts. The writ petition lacked merit and was dismissed.

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The Allahabad High Court, in a writ petition challenging the imposition of a Rs. 75,600 penalty for non-production of an e-way bill, held that generating the e-way bill only after the vehicle's detention does not absolve the petitioner of liability. The Court emphasized that allowing such a defense would "frustrate the very purpose" of the e-way bill requirement by encouraging generation of bills post-detention. Distinguishing Axpress Logistics India Pvt. Ltd v. Union of India, where the e-way bill was obtained prior to detention, the Court found that in the present case, the e-way bill was generated after the vehicle was intercepted. Accordingly, the petition was dismissed, affirming that the penalty was rightly imposed.

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