2018 (4) TMI 1836 - HC - GST

Freezing of Bank Accounts of the Municipality - HELD THAT - There are considerable force in the submissions of the Learned Counsel for the petitioner and therefore even though the Learned Standing Counsel for the respondents vehemently objects to this prayer I am of the firm view that it is not proper to allow the respondents to freeze the accounts of the Municipality specially when the Municipality is engaged in several activities that involve the general public. Ext. P9 is stayed to the extent to which the Deputy Commissioner has ordered that the accounts of the Municipality with the fourth respondent bank be frozen - the fourth respondent will permit the operation of the accounts by the Municipality as is routinely done without in any manner being governed by Ext. P9 order.

Summary

The High Court of Kerala stayed the order to freeze the bank accounts of the Municipality issued by the Deputy Commissioner of Central GST & Central Excise. The Court found it improper to hinder the Municipality's essential activities affecting the general public. The frozen accounts can now be operated by the Municipality as usual. (Case citation: 2018 (4) TMI 1836 - KERALA HIGH COURT)