TaxTMI 
TaxTMI 
TaxTMI 
2024 (6) TMI 1488
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....0656YN000021262C and CBIC-DIN-20240656YP0000111CF1, on the file of the Commissioner of Central Tax, Central Excise and Service Tax, Medchal GST Commissionerate, Hyderabad. 3. The brief facts of the cases are that petitioner No. 2 is a company and petitioner No. 1 is the Director of petitioner No. 2-company in all the cases. On 07.06.2024, the respondent issued notices to petitioner No. 1 under Section 70 of CGST Act directing him to appear before the respondent on 10.06.2024 to produce the details of invoices pertaining to inward and outward supplies of petitioner No. 2 companies. But the notices were not handed over to petitioner No. 1 as he was out of station. On the same day i.e., 07.06.2024, without any pr....
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.... Further, it is pertinent to note that on 07.06.2024, the respondent has inspected the premises of petitioner No. 2-companies and seized the entire records, computer systems along with data and cash amounting to Rs. 83,85,860/- ( out of which it is alleged that Rs. 77,44,000/- were banned Rs. 2,000/- notes). As per the order of seizure in form GST-INS-02 exercising powers under Section 67(2) of CGST Act, 2017, read with Rule 139 (2) is illegal and not in accordance with the provisions of the CGST Act, 2017. Further, the entire records including the computer systems of all the companies were seized under seizure panchanama and issued notices under Section 70 of the CGST Act, which is not in accordance with law. 7. Learned cou....
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....P.C., which is contrary to law and violation of Article 20 (3) of the Constitution of India. 9. Learned counsel for the petitioners further submitted that the offences specified in clauses (a) to (d) of Sub-Section (1) of Section 132 of CGST Act, 2017 are made cognizable and non-bailable under Section 132 (5) of CGST Act, 2017. The notices are silent and not specific as to the offences though Section 132 (1) of CGST Act, lists out 12 different types of offences from clauses (a) to (1). But however, in fact, the duty imposed upon a police officer under Section 41-A Cr.P.C is to summon a person for enquiry in relation to a cognizable offence, which is substantially ingrained in Section 70(1) of the CGST Act. Though Section 69(1) of the CGST ....
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....itted that Section 41-A of Cr.P.C is not applicable to the present batch of cases and the same was also observed by the Hon'ble Supreme Court and various High Courts. Therefore, prayed the Court to dismiss the petitions. 13. In support of his submissions, learned Senior Standing Counsel relied upon the judgment of the Hon'ble Supreme Court in State of Gujarat vs. Choodamani Parmeshwaran Iyer and another [2023 SCC OnLine SC 1043], wherein in paragraph Nos. 43 and 44, it is held as under: "43. But, it may be remembered that Section 41(3) of Cr.P.C., does not provide an absolute irrevocable guarantee against arrest. Despite the compliance with the notices of appearance, a police officer himself is entitled under Section 41(3) of Cr.P.C....
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....at only safeguards that are provided under Section 41A of the Cr.P.C. are to be kept in mind, if a person is sought to be arrested for offences under Section 69(1) of the CGST Act, 2017. 6. Therefore, I do not find any substance in the submission made by the learned counsel for the petitioner that the provisions of Section 41A of the Cr.P.C. are to be complied with in case of an offender for violation of Section69(1) of the CGST Act, 2017. However, considering the facts and circumstances of the case, this Court finds that one opportunity to the petitioner to appear before the authorities for the purpose of recording his statement is to be given and, therefore, the petitioner is directed to appear before the authority concerned on 13.09.2....
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....an offender who has allegedly committed an offence under Section 132 of the CGST Act, 2017. Therefore, the person is entitled for the safeguards that are provided under Section 41-A of Cr.P.C. are to be kept in mind if a person is arrested under Section 69 of the CGST Act, 2017. 18. Further, though the learned counsel for the petitioners relied upon the judgment of the Hon'ble Supreme Court in Radhika Agarwal vs. Union of India and Ors [Writ Petition (s) (Criminal) No(s).336 of 2018], wherein it is observed that while reserving the judgment on the question of validity and interpretation of the provisions of the Customs Act and Central Goods and Service Tax Act/State Goods and Service Tax Act, protected the petitioners therein from arrest w....