Case Details: Spandan Electrical vs. State of West Bengal (2026) 40 Centax 360 (Cal.)
Judiciary and Counsel Details
- Om Narayan Rai, J.
- S/Shri Nilratan Banerjee & Arijit Dey, for the Petitioner.
- S/Shri Tanay Chakraborty & Saptak Sanyal, for the Respondent.
Facts of the Case
The petitioner-assessee was subjected to adjudication proceedings under the provisions of the CGST Act. An order was passed and the same was affirmed in first appeal. Thereafter, the petitioner filed an appeal before the GST Appellate Tribunal (GSTAT) after depositing the prescribed pre-deposit for the tribunal stage. Despite such deposit, recovery was effected by the department, which impacted the electronic cash ledger. Aggrieved by this, the petitioner filed a writ petition seeking refund of the amount recovered and restoration of the electronic cash ledger balance. The matter was accordingly placed before the High Court.
High Court Held
The High Court held that on satisfaction of the mandatory pre-deposit requirement, recovery of the remaining amount stood deemed to be stayed till disposal of the tribunal appeal. It observed that the cumulative pre-deposits at the first appellate stage and tribunal stage restricted the permissible recovery. The Court held that any amount recovered beyond such requirement was refundable. It directed that a representation be submitted to the authorities, which was to be decided expeditiously within the stipulated time. The writ petition was accordingly disposed of without expressing any view on merits.
