Petitioner challenges the constitutional validity of Rule 159(1) of CGST rules
Section 83 of the CGST Act, 2017— Provisional Attachment of Accounts -- The petitioner challenged the order dated 28.09.2020 whereby the objections to the notice for provisional attachment dated 14.08.2020 were rejected. The petitioner also challenged the constitutional validity of Rule 159 and sub-rules 1, 5 and 6. The petitioner counsel submitted that the proceedings against the petitioners were lodged under Section 7 of the Act. Section 83 does not advert to Section 7 of the Act. The respondent counsel submitted that reference to Section 7 was made inadvertently and that reference ought to have been made to Section 67. The court observed that since there is a challenge to rule 159, the matter needs examination.
Held that:-The Hon’ble High Court issued notice to the respondents, listed the matter on 24.05.2021.