Adequate Hearing Opportunity Given: Gujarat High Court Dismisses Black Stone Corporation's Petition, Directs to Appeal Under Section 107 of GST Act

The Gujarat High Court has dismissed a writ petition filed by Black Stone Corporation Private Limited, observing that the petitioner was afforded an adequate hearing opportunity. The court directed the petitioner to avail the alternative efficacious remedy under Section 107 of the GST Act to challenge the impugned order before the appellate authority.

Black Stone Corporation had challenged an order passed by the Assistant Commissioner of State Tax (enforcement), Vadodara, under the GST Act. The petitioner argued that adequate hearing opportunity was not provided and that relied-upon documents were not supplied, contrary to Section 75(4) of the GST Act.

Upon examination, the court found that the petitioner was indeed given an adequate opportunity of hearing, as detailed in paragraphs 5.1 to 5.9 of the impugned order. The court also noted the petitioner's submission regarding the blocking of the Electronic Credit Ledger, which had hindered business operations.

Given the finding of adequate opportunity of hearing, the court dismissed the petition. The court's order emphasized that the petitioner should pursue the alternative remedy under Section 107 of the GST Act, which allows for challenging the impugned order before the appellate authority.

“On perusal of the impugned order in original passed in Form GST DRC-07, it emerges that the petitioner has been given adequate opportunity of hearing as stated in Para.5.1 to 5.9 of the impugned order and, therefore, the contention of the petitioner that the opportunity of hearing not given is not tenable and the petitioner is, therefore, required to be relegated to avail the alternative efficacious remedy under Section 107 of the GST Act, to challenge the impugned order before the appellate authority,” stated the court in its judgment.

Case Title: Black Stone Corporation Private Limited Vs State Of Gujarat & Ors

LL Citation: 2024 LiveLaw (Guj) 72

Click Here To Read Judgement