Attachment of Bank Accounts — Section 83 of the CGST Act, 2017— The petitioner prayed for direction for quashing the provisional order for attaching the Bank Accounts. The bank accounts of the petitioners have been provisionally attached under section 83. No proceedings are pending under any of the sections. The petitioner submitted that one of the extended family members of the petitioner and some corporate entities where he is director and shareholders are under investigation by respondent with respect to violation of provisions of the GGST Act under the allegation of creating fake turnover. The said family member is in no way connected with the business of petitioner directly or indirectly. The petitioner relied the decision of this Court in case of Valerius Industries v. Union of India rendered on 28th August, 2019 in Special Civil Application No.13132/2019, [2019] 15 TAXLOK.COM 085 (Gujarat) wherein certain principles have been laid down for exercising powers by the respondent authorities under section 83 of the Act. The respondent submitted that huge transactions were recorded in the bank account of petitioner and it is a case of bogus billing and therefore, in order to protect the interest of the Revenue, the bank accounts were provisionally attached.
Held that:- The Hon’ble High Court dismissed the petition, as being devoid of any merit and held that no interference is required to be made in exercise of powers under section 83 of the Act by the respondent. — Jsk Sons Vs. State of Gujarat [2020] 22 TAXLOK.COM 153 (Gujarat)