Mere infractions of law are not valid grounds for filing writ petition

[CA Bimal Jain]

The Hon’ble Allahabad High Court in the case of M/S BAJRANG TRADING COMPANY VERSUS COMMISSIONER COMMERCIAL TAX AND ANOTHER - 2023 (11) TMI 50 - ALLAHABAD HIGH COURT dismissed the writ petition and held that mere infractions of law is not a valid ground for filing writ petition for setting aside of adjudication notice.

Facts:

M/s. Bajrang Trading Company (“the Petitioner”) filed a writ petition before the Hon’ble Allahabad High Court challenging the adjudication notice dated April 1, 2023 (“the Impugned Notice”) issued by the Revenue Department (“the Respondent”) for the tax period of August, 2018 to March, 2019. The allegation in the Impugned Notice was that the Petitioner was allegedly involved in the misuse of e-way bills.

Issue:

Whether mere infractions of law is a valid ground for filing writ petition for setting aside of adjudication notice?

Held:

The Hon’ble Allahabad High Court in M/S BAJRANG TRADING COMPANY VERSUS COMMISSIONER COMMERCIAL TAX AND ANOTHER - 2023 (11) TMI 50 - ALLAHABAD HIGH COURT held as under:

• Noted that, the objection raised by the Petitioner pertaining to misuse of the e-way bills is devoid of merit, therefore, could not be accepted at this stage as the same would involve fact appreciation.
• Opined that, when the allegation of infraction of law arises, adjudication proceeding may not be interjected by invoking extraordinary jurisdiction of the High Court. The scope of challenging the adjudication proceeding through writ petition is limited to cases involving inherent lack of jurisdiction or grounds of like nature.
• Held that, the Petitioner has the option to avail the alternative remedy, therefore, the Court is not inclined to interfere with the proceedings, hence, the writ petition is dismissed.

(Author can be reached at info@a2ztaxcorp.com)