IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 02.02.2026 Coram The Honourable Mr.Justice C.Saravanan and W.M.P.No.4135 & 4137 of 2026 M/s. Ratna Cafe Rep. by its Partner, Mr.Lokesh Gupta ...Petitioner Vs.

1.The Assistant Commissioner, CGST & Central Excise, Triplicane Division Chennai North, 26/1, 6th Floor, Annex Building, Utthamar Ghandhi Road, Nungambakkam, Chennai – 600 034.

2. Branch Manager, City Union Bank, Triplicane Branch

1st Floor, 23, Pillaiyar Koil Street, Chepauk, Triplicane, Chennai – 600 005. ...Respondents Prayer Writ Petition filed under Article 226 of the Constitution of India praying for the issuance of a Writ of Certiorarified Mandamus to call for records relating to the impugned order in original bearing Reference No.CHE-GST-AC-26/2024-25 dated 26.07.2024 passed by the first respondent and to quash the same and to direct the first respondent to lift the attachment placed on their Bank Account bearing account No.512120020032708 maintained with the second respondent.

For Petitioner : Mr.Raghav Rajeev For Respondent-1 : Mr.Sai Sruajan Tayi Senior Standing Counsel For Respondent-2 : Mrs.Ananda Gomathy

Order

This Writ Petition is being disposed of at the time of admission with the consent of Mr.Raghav Rajeev, the learned counsel for the Petitioner, Mr.Sai Sruajan Tayi, the learned Senior Standing Counsel, who takes notice on behalf of the first Respondent and Mrs.Ananda Gomathy, learned counsel, who takes notice for the second Respondent.

2. The Petitioner is before this Court against the Order-in-Original dated 26.07.2024 in Form GST DRC-07 passed for the tax period 2019-20 by the first Respondent under Section 73 of the respective GST Enactments and the consequential Attachment of the Petitioner’s Bank Account maintained with the second respondent, City Union Bank on 29.01.2026.

3. The impugned Order dated 26.07.2024 was preceded by a Show Cause Notice No.11/2023-24(CGST) dated 21.05.2024 in Form GST DRC-01, to which, the Petitioner replied on 10.07.2024. However, the Petitioner failed to appear for the personal hearings fixed by the Respondent and thus suffered the impugned Order.

4. By the impugned Order dated 26.07.2024, the demand that has been confirmed against the Petitioner as follows:-

(i) I confirm the CGST amount of Rs. 10,40,258/-

(Rupees ten lakh forty thousand fifty eight only), as detailed in the supra show cause notice para 2.3(1) under Section 73(1) of the CGST Act, 2017 for the tax period from April 2019 το March 2020.

ii) I confirm an appropriate interest under Section 50 of the CGST Act, 2017 on the amount of CGST demanded in Sl.No.(i) above.

(iii) I impose penalty Rs. 1,04,026/- (Rupees one lakh four thousand and twenty six only) under Section 73(9) of the CGST Act, 2017 for short declaration/payment and excess availment of ITC of CGST amount demanded in sl.no (i) above:

(iv) I confirm the SGST amount of Rs. 10,40,258/-

(Rupees ten lakh forty thousand fifty eight only), as detailed in the supra show cause notice para 2.3 (i) under Section 73(1) of the TNGST Act, 2017 for the tax period from April 2019 to March 2020;

(v) I confirm appropriate interest under Section 30 of the CGST Act, 2017 for short-payment of CGST demanded in sl.no (iv) above;

(vi) I impose penalty Rs. 10,40,258/- (Rupees ten lakh forty thousand fifty eight only) under Section 73(9) of the CGST Act, 2017 for short declaration /payment and excess availment of ITC of SGST amount demanded in sl.no sl.no. (iv) above;

(vii) I confirm interest amount of Rs. 17,67,768/- (Rupees Seventeen Lakh Sixty Seven Thousand Seven Hundred Sixty eight only) as discussed in the supra show cause notice para 2.3 (ii) under Section 50 of CGST/TNGST act 2017 for the tax period from April 2019 to March 2020;

(viii) I confirm IGST amount of Rs. 5,690/- (Rupees fine thousand six hundred ninety only) as discussed in the supra show cause notice para 2.3 (iii) under Section 73(1) of the CGST Act, 2017 read with section 20 of the IGST act 2017 for period from april-