IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 21^ST DAY OF NOVEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 19015 OF 2025 (T-RES)

BETWEEN:

1. M/S BSLN ISPAT A SOLE PROPRIETORY CONCERN REP BY MS. PARUL KANSARIA LEGAL HEIR OF THE DECEASED PROPRIETOR MR MAHABIR PRASAD R/AT NO.11186 PRESTIGE SHANTINIKETAN ITPL MAIN ROAD , WHITEFIELD BENGALURU-560048 …PETITIONER (BY SMT. TANMAYEE RAJKUMAR.,ADVOCATE)

AND:

1. ASSISTANT COMMISSIONER OF COMMERCIAL TAXES LGSTO-183 OLD RTO BUILDING Digitally signed by JAI JYOTHI J KIADB INDUSTRIAL AREA Location: High CHIKKABALLAPURA - 562 101 Court of Karnataka

2. DEPUTY COMMISSIONER OF COMMERCIAL TAX (AUDIT) - 5.4, DGSTO-5, ROOM 506

5^TH FLOOR, VTK-2 BUILDING RAJENDRANAGARA KORMANGALA, BENGALURU-560 047.

…RESPONDENTS (BY SRI.HEMAKUMAR K. AGA)

THIS WP IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE IMPUGNED ADJUDICATION ORDER BEARING NO.

ACCT/LGSTO-183/BOGUSITC/DRC07-2/T-9443/24-25, RFN NO. MA290225020808U DATED 05.02.2025 (ANNEXURE H1) AND THE IMPUGNED SUMMARY ORDER BEARING ZD2902250205889 DATED 05.02.2025 (ANNEXURE NO. H2), ISSUED BY THE 1ST RESPONDENT UNDER SECTION 74 OF THE GST ACT, ETC.

THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR

ORAL ORDER

In this petition, petitioner seeks for the following reliefs:

"The Petitioner, therefore, most humbly prays that this Hon'ble Court be pleased to issue a writ, order or direction:

RFN (i) quashing the Impugned Adjudication Order bearing no. ACCT/LGSTO-183/BogusITC/DRC07- 2/T-9443/24-25, No. MA290225020808U dated 05.02.2025 (Annexure H1) and the Impugned Summary Order bearing no. ZD2902250205889 dated 05.02.2025 (Annexure H2), issued by the 1^st Respondent under Section 74 of the GST Act;

(ii) quashing the recovery notice bearing file no.

ACCT/LGSTO-183/Rec.procd/DRC-07/T.9547/2024-

25 dated 24.02.2025 (Annexure J), issued by the 1st Respondent under Section 78 read with Section

83 of the GST Act.

(iii) quashing the show cause notice bearing file no. No.ACCT/LGSTO-183/ dated 02.08.2024 Bogus.ITC/DRC-1/T.2123/2024-25, (Annexure F), issued by the 1s Respondent under Section 74(5) of the GST Act;

(iv) Pass such other or further orders as this Hon'ble Court may deem fit in the facts and circumstances of the case, in the interests of justice and equity."

2. Heard learned counsel for the petitioner and learned counsel for the respondents and perused the material on record.

3. A perusal of the material on record will indicate that the petitioner is the proprietary concern. On 02.09.2022, the Mr. Mahabir Prasad, the sole proprietor of the petitioner having expired, the petitioner submitted an application for cancellation of the GST registration standing in the name of Mr. Mahabir Prasad pursuant to which, cancellation of registration order dated 09.12.2020 was passed with effect from 31.07.2019. Subsequently, the respondent issued an intimation in Form DRC-01A dated 30.03.2024 and a show cause notice dated 02.08.2024 under Section 74(5) of the CGST/KGST Act in Form DRC 01 to the deceased Mr. Mahabir Prasad and not to the petitioner, which culminated in the impugned orders dated 05.02.2025, without bringing the knowledge of the petitioner. It is the specific contention of the petitioner that the aforesaid proceedings initiated against the deceased Mr. Mahabir Prasad are null, non est and void ab initio and the same deserves to be set aside.

4. Per contra, learned HCGP does not dispute that the petitioner's ex-proprietor, Mr. Mahabir Prasad expired on 02.09.2020 and submits that appropriate orders may be passed by this Court in the present petition in the light of the decision of the Delhi High Court in the case of Usha Gupta Vs. Commissioner of CGST - W.P.(C).No.11634/2024 and C.M. Appl.No.48366/2024, dated 23.09.2024 and in the light of the decision of the Madras High Court in the case of Unnikrishnan R Vs. Union of India W.P.(MD) No.12464/202