TaxTMI 
TaxTMI 
TaxTMI 
2025 (5) TMI 2074
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....f hearing were not served upon the Petitioner and the impugned Order-in-Original has been passed without hearing the Petitioner. 4. On the last date of hearing, i.e., 28th April, 2025 the Court considered the allegations made in the SCN as also the demands raised therein. Subsequently, the Court, with some consternation, observed that the parties involved in this particular SCN and the impugned Order-in-Original, along with the firms concerned, are also involved in certain other Show Cause Notices and other proceedings initiated in respect of wrongful availment of Input Tax Credit ('ITC') under the Goods and Services Tax regime. 5. The Court further on the said date, observed that there are various allegations against lawyers which have been raised in the SCN and the impugned Order-in-Original. The said allegations were made in respect of how the said lawyers played a role in incorporating all the alleged firms in order to enable wrongful availment of ITC. 6. It was also observed on 28th April, 2025 that this matter has some commonality with W.P.(C) 14788/2024 titled Akhil Krishan Maggu & Ors. Vs. Deputy Director (Int.) Director General Of Gst Intelligence And Ors. 7. In view t....
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....ed the same registered address. d. As a precautionary measure, the Bank alerted DGGI Hars. for necessary action. The details of the accounts are as follows: S.No. Name of the Firm (M/s) and registered address Bank Account Number GST No. Amount Credited (in Rs.) 1 Monal Enterprises, Chamber No. 104, FF, WZ-31, Jwalaheri Market, Paschim Vihar, New Delhi 110063 50466458913 07BLOPM4508F1Z0 3,77,93,135/- 2 Aircon Overseas, 106, FF, WZ-19A, Opposite Dusshera Park, Jwalaheri Market, New Delhi 110063 50440685682 07ANUPT0383J1ZA 21,71,192/- 3 Micra Overseas, 106 FF, WZ-19A, Opposite Dusshera Market, New Delhi 110063 50442661502 07EKHPP2384H1ZT 1,71,40,499/- 4 Ganeshi Inc., WZ-19, Office No 106, Opposite Dusshera ground, Jwalaheri Market, New Delhi 110063 50468776673 07CESPK1399L1ZO 4,61,16,902/- TOTAL 10,32,21,718/- 2. Upon examination of the GST returns filed by the aforementioned firms, significant discrepancies were observed among various returns. Based on the information so received and corroborated with data from the CBIC-ACES-GST system and the e-Way Bill portal, office of the Respondent No. 1 un....
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....nd verification conducted in relation to these firms confirmed that they were all non- existent/non-functional at their declared principal places of business. 6. In light of the above, searches were also conducted on 28.08.2019 at the residential premises of three co- noticees- Sanjeev Maggu, Akhil Krishan Maggu, Dhruv Krishan Maggu. During the search, Dhruv Krishan Maggu (son of Sanjeev Maggu) was present, and his statement was recorded under Section 70 of the CGST Act.In the said statement, he admitted to being a partner of Sanjeev Maggu, Akhil Krishan Maggu, and Ramesh Wadhera in connection with the operation of the fake firms. Accordingly, Dhruv Krishan Maggu was arrested on 29.08.2019 under Section 69 of the CGST Act, 2017 read with Section 20 of the IGST Act, 2017 for his active involvement in the fraudulent availment of ITC and subsequent IGST refunds. 7. Investigation further revealed that the proprietors of the four aforementioned firms were mere name-lenders who had been lured or coerced into signing documents to facilitate fraudulent IGST refunds against exports. It came to light that Deepak Kumar Mishra, projected as the proprietor of M/s Monal Enterprises, was in f....
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....pt Akhil Krishan Maggu, Sanjeev Maggu, and Dhruv Krishan Maggu, who were granted a stay on the adjudication proceedings by the Hon'ble Delhi High Court vide order dated 22.10.2024 in Akhil Krishan Maggu & Ors. v. DD, DGGI & Ors. WP No. 14788/2024. Consequently, the adjudication proceedings in respect of these three individuals have been kept in abeyance. Penalties have also been imposed on other noticees under various provisions of the GST laws. 12. The petitioner, along with other masterminds and associates, has been identified as a key orchestrator and actual beneficiary of the fake invoicing racket and the illicit financial gains arising therefrom. While the petitioner may not be a proprietor or partner in any of the fake entities, the investigation and SCN reveal that he was instrumental in creating and operating a web of fictitious firms through dummy individuals, solely to derive illegal financial benefit. These findings have been confirmed in the SCN and the Order-in- Originaldated 04.02.2025. 13. Investigations unequivocally establish that Ramesh Wadhera is the principal conspirator in the racket involving fake firms. His involvement in conceiving, managing, and exe....
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....d post 1. 08.01.2025 By speed post - 13.01.2025 at 6 PM 13.01.2025 at 1 PM 14.01.2025 confirmed 2. 15.01.2025 By speed post - 20.01.2025 17.01.2025 at 12:30 PM 21.01.2025 Confirmed 3. 18.01.2025 By speed post - 24.01.2025 22.01.2025 at 12:30 PM 29.01.2025 Confirmed 14. The above may have persuaded the Court to take a view that the Petitioner was not given a proper hearing. However, what transpires is that after receiving these notices, the Petitioner filed a writ petition being W.P.(C) 1115/2025 titled, Ramesh Wadhera v. Deputy Director (INT.) Directorate General of GST intelligence and others. The said matter was heard on 29th January, 2025 with the following directions: "4. That then takes us to the challenge which stands raised to the impugned SCN in itself with learned counsel drawing our attention to our order passed in W.P.(C) 14788/2024 to contend that the petitioner is liable to be accorded identical relief. We find ourselves unable to sustain that submission since the said writ petition itself had been instituted by an individual who was not named or had been found in the course of any investigation to be the operator of the various firms concerned. ....
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....ns who present twisted facts or misrepresent the true and correct picture on record. The said decisions along with their relevant paragraphs read as under: ● K.D. Sharma v. SAIL, (2008) 12 SCC 481 "34. The jurisdiction of the Supreme Court under Article 32 and of the High Court under Article 226 of the Constitution is extraordinary, equitable and discretionary. Prerogative writs mentioned therein are issued for doing substantial justice. It is, therefore, of utmost necessity that the petitioner approaching the writ court must come with clean hands, put forward all the facts before the court without concealing or suppressing anything and seek an appropriate relief. If there is no candid disclosure of relevant and material facts or the petitioner is guilty of misleading the court, his petition may be dismissed at the threshold without considering the merits of the claim. XXXX 38. The above principles have been accepted in our legal system also. As per settled law, the party who invokes the extraordinary jurisdiction of this Court under Article 32 or of a High Court under Article 226 of the Constitution is supposed to be truthful, frank and open. He must disclose all mat....