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2023 (8) TMI 239 - DELHI HIGH COURTPower / Jurisdiction to attach bank accounts - Superintendent (Anti- Evasion) - Calling upon the bank to furnish certain documents pertaining to the petitioner - Provisional attachment - HELD THAT:- It is well settled that the orders of provisional attachment of bank accounts or other assets of a tax payer has a serious adverse effect on the business of the tax payer. In M/S RADHA KRISHAN INDUSTRIES VERSUS STATE OF HIMACHAL PRADESH & ORS. [2021 (4) TMI 837 - SUPREME COURT], the Supreme Court made observations to the effect that such drastic powers must be exercised only where it is necessary. Considering that the wide adverse ramifications such orders have, this Court, has in a number of decisions, held that the power under Section 83 of the CGST Act can be exercised only subject to the conditions, as specified therein, being fully satisfied. No order under Section 83 of the CGST Act can be passed by any officer other than the Commissioner and this can be done only if he is satisfied that it is necessary to pass such an order for protecting the interest of Revenue - In the present case, respondent no. 2 has, by a letter addressed to the bank seeking information, also directed freezing the petitioner’s bank account. The impugned communication is without authority of law. It has been issued in complete disregard of the provisions of the CGST Act and the adverse effect of such orders. The impugned communication set aside to the extent that it seeks to place a debit freeze on the petitioner’s account. The respondents are required to act in accordance with the statutory provisions - petition disposed off.
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