2021-TIOL-1165-HC-JHARKHAND-GST

NG Gadhiya Vs State of Jharkhand

GST - Petition has been filed challenging the notice dated 14.12.2020 issued in FORM GST DRC-13 by respondent No.-2, whereby the petitioner's banker,  has been directed to pay the GST amounting to Rs.38,14,026.24 being the dues against the petitioner pursuant to the order in FORM GST DRC-07 dated 13.10.2020 - Petitioner states that an appeal against the said order was filed on 09.01.2021 with a pre-deposit of amount of Rs.1,78,222/- - During the pendency of the present case, another form GST DRC-13 was issued to M/s Adani Power (Jharkhand) Ltd. dated 15.01.2021 for an amount of Rs.85,65,368.24 and this notice is inclusive of the amount arising out of the summary order dated 13.10.2020; this notice too is challenged by way of an interlocutory application - that for the entire amount which is covered by the notice of attachment dated 15.01.2021, appeals have been filed within the stipulated time frame as prescribed u/s 107 of the Act; that, therefore, once deposit as per sub-section 6 has been made, there is an automatic stay of the remaining amount u/s.s 7 of s.107 of the JGST Act - That, in view of the same, the garnishee notices need to be stayed.

Held: Considering the facts and circumstances of the case and in view of the specific provision of sub-Sections 6 & 7 of Section 107 of the JGST Act and in view of the admitted position that the subsequent garnishee notice dated 15.01.2021 covers both the appeals filed by the petitioner, Court is of the view that on account of pre-deposit which has been made by the petitioner at appellate stage read with the mandate of section 107 (7) of JGST Act, the petitioner deserves an interim protection - Accordingly, the operation, implementation and execution of the impugned garnishee notice dated 14.12.2020 issued in FORM GST DRC-13 to the petitioner's banker, namely, Andhra Bank, Branch- Jagatpura, Jaipur, Rajasthan as well as the impugned garnishee notice dated 15.01.2021 issued in FORM GST DRC-13 to third party, namely, M/s. Adani Power (Jharkhand) Ltd. (SEZ Unit) are stayed till the next date - Matter is adjourned and posted on 19.04.2021: High Court [para 10, 11]

- Interim order passed : JHARKHAND HIGH COURT