GST recovery and bank account restraint: interim protection granted against further coercive recovery and freezing of banking operations.

Further coercive GST recovery was restrained where multiple recovery notices had been issued for the same demand after a substantial amount had already been recovered from one bank account. The court noted the petitioner's grievance that no further opportunity had been given before the recovery communication and, in view of the non-functioning GST Tribunal, granted interim protection against additional recovery steps. It also directed that the petitioner be allowed to operate all bank accounts, preventing continued interference with banking operations pending the matter.

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Issues: Whether further recovery could be insisted upon after recovery of a substantial amount from one bank account, and whether the petitioner could be prevented from operating its bank accounts pending the matter.

Analysis: The petitioner complained that recovery notices had been issued to multiple banks for the same amount, that a substantial sum had already been recovered through one bank account, and that no further opportunity had been granted before issuance of the recovery communication. In the absence of functioning of the GST Tribunal, the Court granted interim protection against further coercive recovery and considered it appropriate to direct release of the petitioner's banking operations.

Outcome: The petitioner was granted protection against further coercive recovery, and the respondents were directed to allow operation of all bank accounts.

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