Misuse of power

[SATISH TOMER]

Can a jurisdictional officer investigate in to firms cancelled on his own motion and issue SCN under Section 74 by alleging that purchases were made from firms cancelled suo-moto. My question is if Special Investigation wing (SIB) has been formed in the department for such kind of matters, why officer is indulging in such issues. whether it is beyond the powers of AO or not. If, yes please give some legal backing also. Thanks in advance.

AI Summary

Jurisdictional Officer Can Investigate Canceled Firms and Issue Show Cause Notice Under Section 74 of CGST Act A query was raised about whether a jurisdictional officer can investigate firms canceled suo-moto and issue a Show Cause Notice under Section 74 of the CGST Act, questioning if this exceeds their authority given the existence of a Special Investigation Wing (SIB). Respondents clarified that the jurisdictional officer, empowered under Section 74, can investigate if the necessary conditions are met, with SIB providing evidence support. It was emphasized that such investigations are lawful and aimed at uncovering fraudulent transactions, and there is no misuse of power as long as business transactions comply with the law.