The main legal point established in the judgment is the violation of natural justice principles in the cancellation of GST registration, emphasizing the need for specific details in show cause notices and orders, and the importance of compliance with court directions.

ORDER :

(Sonia Gokani, J.)

1. By way of present petition under Article 226 of the Constitution of India, the petitioner seeks to challenge the order dated 10.05.2022 passed by the Assistant Commissioner, Ghatak-8, Ahmedabad by which he has ordered to cancel the GST number issued to the petitioner.

The prayers sought for in this petition are as follows:-

“(a) To admit and allow this petition;

(b) To quash and set aside the non-speaking order dated 10.05.2022 issued by the respondent no.2 at Annexure-G and issue a writ of certiorari or a writ in nature of certiorari or any other direction by holding and declaring the same to be illegal, bad in law and not in accordance with Act, 2017;

(c) Pending admission, hearing and final disposal of this petition, be pleased to stay the implementation, operation and execution of the non-speaking order dated 10.05.2022 issued by the respondent no.2 at Annexure-G;

(d) Pass any such other and/or further orders that may be thought just and proper, in the facts and circumstances of the present case.”

2. The petitioner is engaged in the business of Trading of Gold, Silver and Building Materials etc. and has been a registered dealer holding GSTIN Registration No. 24ANLPS0681F1ZW under the provisions of the Goods and Services Tax Act, 2017 (hereinafter referred to as ‘the Act of 2017) with effect from 04.08.2017.

2.1. On 01.10.2021, a notice was issued by the Assistant Commissioner asking the petitioner to show cause as to why the registration certificate issued in the name of the his firm be not cancelled. He gave a reply on 07.10.2021. The petitioner received a communication through e-mail on 14.10.2021 intimating that the order of dropping suo moto proceedings is cancelled.

2.2. Once again on 11.04.2022 a notice was issued by the Assistant Commissioner asking the petitioner to show cause as to why the registration certificate issued in the name of his firm be not cancelled. He replied to the same on 15.04.2022 and thereafter, a non-speaking order dated 10.05.2022 has been received by him from the respondent no.2 intimating him that the GST Registration Number is cancelled.

2.3. The petitioner also made a representation on 17.05.2022 against the order of cancellation of registration number where no heed was paid and therefore, the petitioner has approached this Court with the aforementioned prayers.

3. No reply is filed after this Court (Coram: Mr. N.V.Anjaria and Mr. Bhargav D. Karia, JJ.) issued the notice for final hearing on 29.06.2022.

4. Today, we have heard learned advocate Mr. Sandeep Limbani appearing for the petitioner and learned Assistant Government Pleader Mr. Trupesh Kathiriya appearing for the respondent – State and its authorities.

5. Learned advocate Mr. Snadeep Limbani has urged this Court having relied on the decision rendered in case of Aggarwal Dyeing and Printing Works vs. State of Gujarat and others [SCA 18860 of 2021 and allied matters, decided on 24.02.2022] that similar such notice had been quashed and set aside by the Court. Since the notice did not contain the requisite details and the order also was a non-speaking and cryptic in nature, the reason for cancellation could not have been deciphered from the same. He fairly submitted that while so doing, the Court had permitted the fresh notice with the particular reasons incorporating the details and to provide a reasonable opportunity.

6. Today Learned Assistant Government Pleader Mr. Kathiriya has produced a communication dated 22.09.2022 which says thus:-

“Sub.:- Undertaking for acceptance of Set assiding the order after giving opportunity of being heard to the taxpayer, i.e. Amit Chandrakant Shah whose GST number has been cancelled by our side.

Respected Sir,

With reference to above subject I would like to draw your kind attention that GST number 24ANLPS0681F1ZW, who has been registered in the name of the firm Amit Corporation