Section 29 of the CGST Act, 2017 —– Cancellation of Registration - The petitioner challenged the SCN dated 26.05.2022, as also the order of cancellation of registration dated 11.10.2022. It was submitted that the respondent No.2 passed an order cancelling the registration of the petitioner on the ground which was never form part of the notice. The counsel for the petitioner submitted that the SCN is vague and does not specify the reason for which the registration of the petitioner is proposed to be cancelled. Further, relied upon the decision of this Court in case of Aggarwal Dyeing and Printing Works Vs. State of Gujarat & Ors. The court observed that no valid reason was given for cancellation of registration. As the SCN does not contain reason to justify the action of the respondent, it is violative of principles of natural justice. As held by this Court in Aggarwal Dyeing, reasons are heart and soul of the order and non-communication of the same itself amounts to denial of reasonable opportunity of hearing resulting into miscarriage of justice.

Held that:- The Hon’ble High Court set aside the SCN and order and directed the respondents to restore the registration of the petitioner forthwith. Further granted liberty to the respondent to issue fresh notice to the petitioner.