Allahabad High Court Ruling: Vehicle Seizure Without Notice Infringes Civil Rights of the Transporter
Legality of Seizure of vehicles without Notice: In a landmark judgment on January 9, 2024, the Allahabad High Court, in the case of Akbar Ali Transport Services (Writ tax No-1524/2023), emphasized the infringement of civil rights of transporters by seizure of vehicles without prior notice. The court recognized the truck as an essential capital asset for transporters, shedding light on the implications of such actions.
Background
The legal proceedings were initiated under Section 129 of the U.P. Goods and Services Tax Act, 2017, following the confiscation of the petitioner’s vehicle. The focus centered on goods discovered in the intercepted truck on November 22, 2023, leading to the issuance of a show cause notice on MOV-07 to the dealer.
Petitioner’s Grievance
The petitioner expressed dissatisfaction with the confiscation, highlighting the absence of a specific show cause notice on them addressing why their truck should be seized. They argued that the penalty order issued on December 5, 2023 (MOV-09), lacked a fair consideration of their perspective, rendering it one-sided.
Court’s Observations
A Division Bench comprising Justice Saumitra Dayal Singh and Justice Manjive Shukla noted that statutory provisions required the petitioner to deposit Rs. One lakh for the release of the truck, as stipulated in proviso-1 of Section 129(6) of the Act. The court emphasized the petitioner’s entitlement to a fair hearing to present their explanation and establish their non-involvement in the alleged illegality.
Implications for the Petitioner
The court acknowledged the truck’s significance as a valuable property and a key asset generating revenue for the transporter. It concluded that the petitioner’s civil rights were adversely affected in an ex-parte manner. The judgment outlined specific conditions for the vehicle’s release, recognizing the need for a fair and impartial resolution.
Conclusion
The Allahabad High Court’s ruling underscores the importance of due process and fair treatment for transporters, especially at the time of seizure of their capital assets. The judgment sets a precedent for cases involving the seizure of vehicles, emphasizing the need for a balanced and thorough assessment of all relevant factors.
To Access the GST Advisory No. 622 on Introduction of Card/UPI modes of GST Payment CLICK HERE
Read More
Just wish to say your article is as surprising The clearness in your post is just cool and i could assume youre an expert on this subject Fine with your permission allow me to grab your RSS feed to keep updated with forthcoming post Thanks a million and please keep up the enjoyable work
Simply desire to say your article is as surprising The clearness in your post is simply excellent and i could assume you are an expert on this subject Fine with your permission let me to grab your feed to keep up to date with forthcoming post Thanks a million and please carry on the gratifying work