Goods and Services Tax (GST) – Confiscation of Goods – Section 130 of CGST/KSGST Act – Release of Confiscated Goods – Writ Petition – Appeal Pending – Fine in Lieu of Confiscation.
2025 KER 39945
High Court of Kerala
Ziyad Rahman A.A., J.
W.P.(C) No. 19889 of 2025
The petitioner, a taxpayer under the CGST/KSGST Act, challenged a confiscation order (Ext.P8) issued by the Enforcement Officer under Section 130, imposing a fine of Rs.10,82,539/- each under CGST and KSGST Acts for irregularities found during the interception of a vehicle carrying scrap materials on 09.10.2024. The petitioner filed an appeal against the order and sought interim relief against a notice (Ext.P10) threatening auction of the vehicle. The High Court held that, despite the expiry of the three-month period stipulated under Section 130(7) for release of goods upon payment of fine, the goods had not been sold. The Court directed the release of the goods upon payment of the fine within one month, finding no prejudice to the State.
Held: The writ petition was disposed of, directing the 2nd respondent to release the confiscated goods upon the petitioner paying the fine in lieu of confiscation within one month.
Counsel:
For Petitioner: Sri. V.S. Salim, Shri. K. Mohamed Thoyyib, Smt. A.M. Fousi, Shri. A.B. Atin
For Respondents: Sri. Mohammed Rafiq, Senior Government Pleader
