Section 140 of the CGST Act — Transitional Credit –- The petitioner challenged the adjudication proceeding initiated under Section 73 of the Act, whereby the Cenvat Credit amounting to Rs. 10,21,05,096/- carried forward by filing TRAN-1 in terms of Section 140, has been disallowed. The counsel for the petitioner raised the question of jurisdiction of the Adjudicating Authority and submitted that there is a stay of recovery of tax and penalty by the learned CESTAT, Kolkata. Service Tax Appeals are also pending before the learned CESTAT and before the Commissioner (Appeals). The respondent counsel submitted that under Section 73, the proper officer is empowered to initiate proceeding for wrongful availment or utilization of ITC. However, he sought three weeks’ time to file counter affidavit.

Held that:- The Hon’ble High Court listed the case on 15.09.2022 and directed that  no coercive steps be taken against the petitioner till the next date.