TMI Blog2023 (3) TMI 1001X X X X Extracts X X X X X X X X Extracts X X X X ..... on the ground that several firms were availing wrong ITC credit and were essentially bogus firms. This Court in the case of Apparent Marketing Private Limited [[ 2022 (3) TMI 493 - ALLAHABAD HIGH COURT] ] has already dealt with the said issue and has recorded that once registration is granted, the same could be cancelled only in terms of the conditions prescribed under Section 29(2) and allegedly being a bogus firm is not a ground enumerated under Section 29(2). Following the said judgment and coupled with the fact that the respondents themselves have initiated proceedings against the firm under Section 74, the order rejecting the application for revocation was a wrong exercise of power by the department. The appellate order is equally bad ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed that the registration is liable to be cancelled on the basis of information received from STF that the firm is not existing/ running at the registered place. It is stated that in absence of the reply to the show cause notice dated 11.02.2021, the registration of the firm was cancelled vide order dated 31.03.2021 cancelling the registration on the ground that as per the information received, the firm was indulged in availing fake ITC credit from bogus firm. It was recorded that the reply given by the petitioner was not satisfactory as at the time of survey, no business activity was found at the given address. It was also recorded that the amendment as alleged was not given before the survey and was an after thought. It is stated that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... clause (b), has not furnished returns for a continuous period of six months; or (d) any person who has taken voluntary registration under sub-section (3) of section 25 has not commenced business within six months from the date of registration; or (e) registration has been obtained by means of fraud, wilful misstatement or suppression of facts: Provided that the proper officer shall not cancel the registration without the person an opportunity of being heard: [Provided further that during pendency of the proceedings relating to cancellation of registration, the proper officer may suspend the registration for such period and in such manner as may be prescribed.] ... The Counsel for the petitioner argues that in none of the clauses as enumerat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he registration, it is apparent that the respondents have committed error while deciding the issue on the ground that several firms were availing wrong ITC credit and were essentially bogus firms. This Court in the case of Apparent Marketing Private Limited (Supra) has already dealt with the said issue and has recorded that once registration is granted, the same could be cancelled only in terms of the conditions prescribed under Section 29(2) and allegedly being a bogus firm is not a ground enumerated under Section 29(2). Thus following the said judgment and coupled with the fact that the respondents themselves have initiated proceedings against the firm under Section 74, the order rejecting the application for revocation was a wrong exerci ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
