Section 83 of the CGST Act, 2017 – Provisional Attachment of Bank Accounts - The Petitioner challenged provisional attachment of bank accounts. On 02.05.2022, in an earlier petition, the court directed respondents to unfreeze the account maintained by petitioner. The petitioner submitted that on 20.05.2022, respondents took away Rs. 62,32,400/- from its Bank account. He had given no instructions to debit the amount to the account of GST authorities. The court observed that as to how the authorities get this power to take away amount from anybody’s account without account holder’s permission or even after taking away the money, they would not even consider it necessary to inform the account-holder that money from their account has been debited. This is nothing but high handedness and gross abuse of power.

Held that:- The Hon’ble Court directed the Respondent No. 2 to deposit the entire amount of Rs. 62,32,400/- with the Registrar (Judicial-I) of this Court on or before 28.07.2022 failing which this court may issue contempt notice against respondent No. 2. The concerned officer who instructed the bank to debit the amount of petitioner shall file his personal affidavit explaining therein under what authority of law that he got removed the money from petitioner’s bank account or directed the bank to debit the bank account and why did he do it without even informing petitioner even after giving instructions to the bank. The officer is put to notice that this Court may even consider taking action against the officer if it is not satisfied with the explanation. The authorities are not even bothering to inform the account-holders that it has given such instructions. The affidavit shall be filed and copies served on or before 25.07.2022. Rejoinder, if any, to be filed and copies served by 3.00 p.m. on 29.07.2022. Stand over to 1st August, 2022.