This Court directs the petitioner to deposit the principal profiteered amount in six equated installments and the interest amount directed to be paid by the respondents as well as penalty proceedings are stayed till further orders.
Section 171 of the CGST Act, 2017 — Anti Profiteering — The petitioner challenged the order dated 7th July, 2020 passed by respondent NAPA whereby it has been held that he profiteered Rs. 30,13,058/- during the period 1st January, 2019 to 7th February, 2019. The Petitioner prayed for quashing the directions with regard to interest and penalties issued under the impugned order. The Petitioner prayed for a declaration that Section 171 and rules are unconstitutional and ultra vires the parent Act. The petitioner submitted that the total alleged profiteered demand as per the findings of the NAPA under the impugned order is Rs. 30,13,058/-, which included Rs. 4,59,604/-the GST imposed on the net profiteered amount, which has already been deposited by the petitioner. The petitioner prayed that due to COVID-19 pandemic, he be allowed to deposit the aforesaid amount in installments.
Held that:-The Hon’ble High directed the petitioner to deposit the principal profiteered amount Rs.25,53,454/- (Rs.30,13,058/- minus Rs.4,59,604/-) in six equated monthly installments commencing 2nd November, 2020. The interest amount and penalty proceedings are stayed till further orders. List on 03rd November, 2020.