APHC010156572024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI [3529]

(Special Original Jurisdiction)

TUESDAY, THE TWENTY EIGHTH DAY OF APRIL TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO THE HONOURABLE SRI JUSTICE T.C.D.SEKHAR WRIT PETITION NO: 3659/2025 Between:

1. M /S. TRIMEX SANDS PRIVATE LIMITED, VATCHAVALASA (V), GARA MANDAL, SRIKAKULAM, ANDHRA PRADESH, REP. BY ITS AUTHORIZED REPRESENTATIVE, SRI. VINAY KUMAR N. S/O.

RAJU N. AGED ABOUT 38 YEARS.

...PETITIONER AND

1. T HE UNION OF INDIA, REP. BY ITS SECRETARY, MINISTRY OF FINANCE, NEW DELHI -110001.

2. T HE STATE OF ANDHRA PRADESH, REP. BY ITS PRINCIPAL SECRETARY REVENUE (CT) DEPARTMENT, VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT.

3. T HE DEPUTY COMMISSIONER OF CENTRAL TAXES, VIZIANAGARAM CENTRAL GST DIVISION, VIZIANAGARAM -

535003 ANDHRA PRADESH.

4. T HE ASSISTANT COMMISSIONER, CENTRAL TAX, CENTRAL EXCISE AND SERVICE TAX, VIZIANAGARAM CGST DIVISION, VISAKHAPATNAM CGST COMMISSIONERATE, NEAR DANDUMARAMMA TEMPLE, CANTONMENT AREA, VIZIANAGARAM - 535 003.

5. T HE SUPERINTENDENT CENTRAL TAX, WEST CGST RANGE, MAHALAKSHMI NAGAR, SRIKAKULAM-532001 ...RESPONDENT(S):

Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased topleased to issue an appropriate writ, order or direction particularly in the nature of Writ of MANDAMUS declaring the action of the 3rd Respondent Deputy Commissioner of Central Tax, Vizianagaram, Central Division in passing the impugned order dated 31-08-2023 in DIN No. 20230855YJ0000999FB6 levying ' tax, penalty and interest under section 74 read with section 50 of the CGST Act, claiming Tran-1 credit treating as willful mistake and without establishing 'mens rea' as illegal, arbitrary, unjust, improper, unfair, irrational, unreasonable, violation of the principles of natural justice and contrary to judgement of various High Courts and contrary to explanation II of section 74 of CGST Act and violation of article 14, 19(1 )(g), 21 and 265 of the Constitution of India and consequently to set aside the same and direct the respondents to refund the payment of tax of Rs.

34,82,160/- and pass IA NO: 1 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased pleased to condone the delay of 309 days in representing the writ petition, the Petitioner would suffer severe loss and hardship.

IA NO: 2 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to grant stay of penalty and interest pending disposal of the writ petition else the petitioner would be put to serious loss and hardship and grant IA NO: 3 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased Pleased to permit the Petitioner to implead the proposed 6th Respondent as Respondent No. 6 in the writ petition or else the Petitioner would be put to severe loss and hardship and pass.

Counsel for the Petitioner:

1. M V J K KUMAR Counsel for the Respondent(S):

1. GP FOR COMMERCIAL TAX

2. Y N VIVEKANANDA

3. ....

The Court made the following Order: (per Hon’ble Sri Justice R. Raghunandan Rao)

The petitioner, who is involved in manufacturing of various items, had been registered, under the V.A.T. Act, Central Excise Act and Service Tax Regime. The petitioner had a credit balance, under the CENVAT Credit Rules, as of 30.06.2017.

2. The G.S.T. regime was introduced in the country with effect from 01.07.2017. On account of the introduction of the new tax regime, a transition had to take place from the old taxation acts to the G.S.T. regime. This transition, was regulated by Section 140 of the C.G.S.T. Act and the corresponding provisions of the State G.S.T.. Under this provision, a tax payer,