Awadh Bar Association Moves Allahabad High Court For GST Appellate Tribunal At Lucknow

The Association has stated that the fact that the principal seat of the High Court is in Allahabad is not relevant for the purpose of deciding the location of the tribunal. The plea states,

"It has been categorically held by this Hon'ble Court vide judgment and order dated 31.05.2019 passed PILL. Civil No. 6800 of 2019, that there is no such law or a judicial pronouncement that the GST Tribunal or any other Tribunal should only be established at Principal seat the location of the Tribunal falls in the exclusive domain of the executive and is an issue which is non justiciable."

It is further submitted that Lucknow is very convenient to the litigants in view of its geographical situation, well connectivity with railways, airway as well as expressways and highways, and therefore, litigants can easily come to Lucknow to pursue their cases in the city.

Further, the GST Tribunal would be substituting the Commercial Tax Tribunial (Vat Tribunal) which has its Headquarter at Lucknow.

Furthermore, the Area Bench proposed to be established at Prayagraj will cater to the needs of the litigants of Allahabad and surrounding areas and therefore, there will not be any hardship to the litigants of that region.

Background

The petition finds its genesis from various conflicting orders passed by the High Court at Allahabad and that at Lucknow, for establishment of the GST Appellate Tribunal in those respective cities.

It may be noted that in August 2018, the GST Council had sought for the State Government's recommendation for establishment of a State Bench and Area Benches of the Tribunal.

In February 2019, the UP Government recommended for State Bench at Lucknow and 20 Area Benches in different cities.

Thereafter, several orders were passed by the two High Court Benches leading to a tussle as t where the State bench of the GS Tribunal should be established.

As per the Petitioner, when repeated appearance of Officers of State and GST Council was made at Allahabad in connection to this issue, then under such pressure the above proposal was modified by GST Council, recommending for establishment of Tribunal at Allahabad and 4 Area Benches.

Finally, on June 12, 2020, the GST Council took a decision for creation of GST State Bench at Lucknow.

The Petitioner has now sought enforcement of this decision which as per them is in line with the State Government's initial recommendation and was taken after considering all aspects of the matter.

The plea states,

"Despite the said decision having been taken and the same being legally correct, the same is not being acted upon and the GST Tribunal is yet to see the light of the day. This is resulting in grave hardship to the litigants as well as to the public at large.

Therefore, it is expedient in the interest of justice that the decision of the GST Council dated 14.03.2020 be quashed and the initial proposal of State Government on 21.02.2019 culminating the Respondent No. l be directed to constitute the Tribunal in accordance with the said decision, forthwith."