Judicial and administrative orders must provide reasons to uphold natural justice; lack of reasoning renders such orders indefensible.

JUDGMENT

Piyush Agrawal, J.

Heard Mr. Pranjal Shukla for the petitioner and Mr. Rishi Kumar, learned A.C.S.C. for respondents.

2. The instant Writ Tax is being entertained by this Court in view of the fact that G.S.T. Tribunal is not functional in the State of Uttar Pradesh pursuant to the Gazette notification of the Central Government bearing number CG-DL-E-14092023-248743 dated 14.09.2023.

3. By means of present petition, the petitioner is assailing the order dated 20.12.2019 passed by Assistant Commissioner, Commercial Tax, respondent no. 3 and the order dated 27.6.2022 passed by the Additional Commissioner, respondent no. 2.

4. Brief facts of the case are that the petitioner is a proprietorship firm having G.S.T.I.N. No. 09AJPC0956DIZG and engaged in the business of civil construction works in various government departments. On 7.12.2019 a show cause notice was issued to the petitioner but no reply was submitted to it and by order dated 20.12.2019, the G.S.T. registration of the petitioner was cancelled. Against the said order, the petitioner has preferred an appeal which has also been rejected by the impugned order dated 27.6.2022. Hence the present petition.

5. Learned counsel for the petitioner submits that show cause notice was issued on 7.12.2019 for cancellation of registration but in the said notice, no date and time was mentioned for appearing the petitioner before the authority concerned as provided under Section 29 (2) under the Act but by the impugned order, the GST registration of the petitioner was cancelled without assigning any reason. He submits that the appellate authority has also dismissed the appeal filed by the petitioner without assigning any cogent reason. He submits that as the show cause notice was vague and does not refer any particular fact as required under the Act, the impugned order is liable to be set aside. He prays for allowing the present petition.

6. Per contra, learned Additional Chief Standing Counsel supports the impugned order and prays for dismissal of the writ petition.

7. After hearing the counsel for the parties, the Court has perused the records.

8. From the perusal of the impugned order, it transpires that the same has been passed without recording any cogent reason for cancelling the GST registration of the petitioner and appellate authority has also dismissed the appeal filed by the petitioner summarily without assigning any reason.

9. An order without valid reasons cannot be sustained. To give reasons is the rule of natural justice, highlighting this rule, Hon'ble Supreme Court held in the case of The Secretary & Curator, Victoria Memorial v. Howrah Ganatantrik Nagrik Samity and ors., JT 2010(2)SC 566 para 31 to 33 as under :

"31. It is a settled legal proposition that not only administrative but also judicial order must be supported by reasons, recorded in it. Thus, while deciding an issue, the Court is bound to give reasons for its conclusion. It is the duty and obligation on the part of the Court to record reasons while disposing of the case. The hallmark of an order and exercise of judicial power by a judicial forum is to disclose its reasons by itself and giving of reasons has always been insisted upon as one of the fundamentals of sound administration justice - delivery system, to make known that there had been proper and due application of mind to the issue before the Court and also as an essential requisite of principles of natural justice. The giving of reasons for a decision is an essential attribute of judicial and judicious disposal of a matter before Courts, and which is the only indication to know about the manner and quality of exercise un