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Case Details: Ved Prakash Agarwal vs. State of Telangana (2025) 34 Centax 344 (Telangana)
Judiciary and Counsel Details
- APARESH KUMAR SINGH, CJ. & G.M. MOHIUDDIN, J
- Shri R A Achuthanand, Adv., for the Petitioner
Facts of the Case
The writ petitioners before the High Court were the sons of a deceased proprietor of a spices and masala manufacturing business, while the grandson of the deceased had obtained GST registration, claiming rights under a Will allegedly executed by the deceased in his favour. The sons had formed a partnership and obtained GST registration in the name of the business. The grandson filed a civil suit seeking a permanent injunction restraining the sons from interfering with the business, which was refused by the Civil Court on the ground that the Will appeared to be forged. Subsequently, the sons filed a petition before the GST authorities seeking cancellation of the GST registration granted to the grandson on the ground that it was obtained fraudulently and on the basis of forged documents, which was refused. The sons then filed a writ petition before the High Court seeking cancellation of the GST registration of the grandson, while the grandson filed a writ petition seeking a declaration that issuing GST registration to the sons at the same business premises was illegal. The matter was accordingly placed before the High Court.
High Court Held
The High Court held that conflicting claims regarding the genuineness and validity of a Will and succession rights should not be adjudicated by GST authorities. The Court observed that the validity of the Will was sub-judice and that civil disputes of this nature fall within the jurisdiction of Civil Courts. The High Court noted that the sons had the right to claim their share in the property, including the business of the deceased, in the pending civil suit. The Court directed that the GST registration of both parties be verified only after the determination of the rights of the parties in the civil proceedings.
