One-Day Delayed Payment Due To Tech Glitch Accepted | HC

Case Details: Assistant Commissioner GST and Central Excise, Division VI, Mumbai Centre vs. Cradle Runways Pvt. Ltd. (2025) 37 Centax 219 (Bom.) 

Judiciary and Counsel Details

• M.S. Sonak & Jitendra Jain, JJ.
• S/Shri Jitendra B. Mishra with Abhishek Mishra, Rupesh Dubey, for the Petitioner.
• S/Shri Bharat Raichandani, through VC. with Dhanistha Kawale, UBR Legal Advocates, for Respondent.

Facts of the Case

The respondent, who had opted for the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019, was required to pay the settlement amount by the last date. The respondent made the payment one day late, submitting that a technical glitch in the payment system had prevented timely payment. Relief was granted by accepting the one-day delayed payment upon satisfaction regarding the technical glitch. The Department of Revenue filed a review petition alleging an error apparent on the face of the record. The matter was accordingly placed before the High Court.

High Court Held

The High Court held that no case was made out for the exercise of review jurisdiction. The argument regarding the technical glitch had been duly considered, and relief was granted only upon satisfaction that the glitch had prevented payment on the due date. The court distinguished Yashi Construction [2022 (58) G.S.T.L. 144 (S.C.)], noting that the delay in that case arose from financial constraints and not a system glitch. It was held that the review petition filed by the Department of Revenue could not be treated as an appeal in disguise, and the matter could not be re-argued. The review petition was dismissed without costs under section 127 read with sections 128 and 129 of the Finance (No. 2) Act, 2019.

List of Cases Cited

• Yashi Construction v. Union of India — 2022 (58) G.S.T.L. 144 (S.C.) — Distinguished [Paras 2, 5]