IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD THE HON’BLE THE CHIEF JUSTICE SRI APARESH KUMAR SINGH AND THE HON’BLE SRI JUSTICE G.M.MOHIUDDIN WRIT PETITION No.13026 of 2026 Dated: 27.04.2026 Between:

M/s. Divyashakti Chemicals …Petitioner and The Additional Commissioner of Central Tax, Ranga CGST Commissionerate, H.No.1-98/7/43, VIP Hills, Jaihind Enclave, Madhapur, Hyderabad - 500081, and 5 others.

…Respondents

ORDER:

Learned counsel Sri Md. Shabaz appears for the petitioner through video conferencing.

Sri Dominic Fernandes, learned Senior Standing Counsel for Central Board of Indirect Taxes and Customs, appears for respondents No.1 to 4 and 6.

2. The petitioner’s GST registration was cancelled on 28.12.2019. The show cause notice bearing No.138/2024-25 was issued by respondent No.1 on 23.09.2024 alleging wrongful availment of Input Tax Credit without actual supply. The proposed demand and penalties were issued under Section 122(1)(ii) and 122(1)(vii) of the Central Goods and Services Tax Act, 2017 (hereinafter referred to as, “the Act”). The order-in-original confirming the demand was passed on 18.03.2025 and DRC-07 is dated 20.03.2025. In the present proceeding, the petit