IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED : 20.11.2025

CORAM

THE HONOURABLE MR.JUSTICE C.SARAVANAN

and

W.M.P.No.16078 of 2025

Sanmina SCI India Private Limited

Represented by its Authorised Signatory

Mr. Brijesh Rai K,

1, SIPCOT Industrial Growth Centre,

Oragadam, Kanchipuram,

Tamil Nadu – 602105. ... Petitioner

Vs.

1. The Joint Commissioner of GST & Central Excise Office of the Commissioner of GST & Central Excise

Chennai – Outer Commissionerate

Newry Towers: No.2054 - I: II Avenue

Anna Nagar, Chennai – 600 040.

2. The Additional Commissioner of GST & Central Excise

Office of the Commissioner of GST & Central Excise

Audit II Commissionerate

No.692, 6th Floor, MHU Complex

Anna Salai, Nandanam, Chennai – 600035.

3. The Assistant Commissioner of GST & Central Excise

Vallam Range of Sriperumbudur Division

Chennai Outer Commissionerate

C-48, TNHB Complex

2nd Avenue, Anna Nagar, Chennai – 600040. ... Respondents

Writ Petition filed under Article 226 of the Constitution of India, for issuance of a Writ of Certiorari, calling for the records relating to the impugned Order in Original No. 37/2025-GST(JC) dated 25.02.2025 passed by the 1^st Respondent and quash the same.

For Petitioner : Mr.Raghavan Ramabadran For Respondents : Mr.Sai Srujan Tayi Senior Standing Counsel

ORDER

The petitioner is before this Court against the impugned Order-in-

Original No.37/2025-GST(JC) dated 25.02.2025 passed by the 1^st respondent, for the period between September, 2018 to March, 2020.

2. By the impugned order, the demand proposed in Show Cause Notice No.31/2022-GST(ADC) dated 28.07.2022 has been confirmed against the petitioner. The proposal in the said show cause notice reads as under:-

“6. Now, therefore, M/s. Sanmina SCI India Pvt. Ltd, Plot No.1, SIPCOT Industrial Growth Centre, Oragadam, Kanchipuram, Tamil Nadu 602105, are hereby called upon to show cause to the Additional/Joint Commissioner of GST & Central Excise, Chennal Outer Commissionerate, Newry Tower, No. 2054, I Block, II Avenue, 12^th Main Road, Anna Nagar, Chennai - 600040, within 30 days of the receipt of this notice as to why:

a) The subject goods viz., ECU and ABS should not be be classified under HSN 8708300 of the Customs Tariff Act 1975 and assessed to GST Rate of Tax @ 28% under Section 9 of the CGST/TNGST Act 2017 made applicable to Section 20 of the IGST Act 2017;

b) An amount of Rs.3,46,76,517/- (Rupees Three Crore Forty-Six Lakh Seventy-Six Thousand Five Hundred and Seventeen only) (CGST Rs.69,40,576/- SGST Rs.69,40,576/- and IGST Rs.2,07,95,365/-) being the tax short paid by them arisen on account of mis-classification of the said goods, should not be demanded from them under Section 74(1) read with Section 74(9) of the CGST/SGST Act, 2017 as made applicable to Section 20 of the IGST Act

2017:

c) Interest at applicable rate on the above demand made at (b) above, should not be charged and demanded from them under Section 50 of CGST/SGST Act, 2017; and d) A Penalty equivalent to the tax demanded at (b)

above, should not be imposed on them under Section 74(1) read with Section 74(9) of the CGST/TNGST Act 2017 for their act of contravention:

e) A penalty under Section 122(2)(b) of the CGST/TNGST Act 2017 should not be imposed on them inasmuch as they have indulged in willful suppression by mis-classifying the item resulting in short payment of tax;”

3. The 1^st respondent, ultimately confirmed the aforesaid demand by the Impugned Order dated 25.02.2025. Operative portion of the impugned order reads as under:-

“i) I confirm that the impugned goods i.e. Electronic Control Unit is classifiable under CTH No.87089900 of the Customs Tariff Act, 1975, as discussed supra.

ii) I confirm the demand of Rs.3,46,76,517/- (Rupees Three Crore Forty-Six Lakh Seventy-Six Thousand Five Hundred and Seventeen only) (CGST-Rs.69,40,576/-SGST-Rs.69,40,576/-, & IGST-Rs.2,07,95,365/-) being the tax short paid by them arisen on account of mis-classification of the said goods under Section 74(1) read with Section 74(9) of the CGST/TNGST Act