Section 129 of the CGST Act, 2017—Goods in Transit —-The petitioner challenged the penalty order dated 12.06.2018 and the order dated 01.07.2019 passed by appellate authority. The mobile squad on 10.06.2018 intercepted the goods and detained the vehicle on the premise that vehicle number in the e-way bill has been wrongly mentioned. The court observed that e-way bill revealed that the vehicle number has been mentioned as UP-13T/6755. The mistake is as far as the registration of the vehicle in a particular State and in place of HR-73, UP-13T has been mentioned in the e-way bill, while number of the vehicle 6755 is same. It is a case of stock transfer. There is no intention on the part of dealer to evade any tax, the minor discrepancy as to the registration of vehicle in State in the e-way bill would not attract proceedings for penalty under Section 129. The Department has not placed any other material so as to bring on record that there was any intention on the part of the dealer to evade tax except the wrong mention of part of registration number of the vehicle in the eway bill.

Held that:- The Hon’ble High Court set aside the orders dated 12.06.2018 and 01.07.2019.