Section 74 of the CGST Act, 2017— Demand Notice —-- The petitioner challenged the impugned order dated 05.04.2022 passed under Section 74 of the Act on the ground of violation of principles of natural justice. The petitioner contended that even though they have sent a reply dated 25.02.2022 to the SCN but the same has not been considered in the impugned order. Further, only a summary of the order dated 05.04.2022 was served on him and not the detailed order. The Additional Government Pleader confirmed that the reply dated 25.02.2022 sent by the petitioner was received by the respondents. The court observed that as seen from the impugned order, there is no reference to the reply dated 25.02.2022 and the said reply has also not been considered.

Held that:- The Hon’ble High Court quashed the impugned order, dated 05.04.2022 and remanded the matter back to the respondents for fresh consideration on merits and in accordance with law. The respondent is directed to pass final orders, within a period of twelve weeks, after adhering to the principles of natural justice and after affording a personal hearing to the petitioner.