Haj is not merely Holiday but Religious Practice and Faith: Delhi HC Stays Proceedings against HGO’s on payment of GST [Read Order]

The High Court of Delhi Stayed Proceedings against Haj Group Organizers (HGOs) and held that Haj is not merely a holiday but a religious practice and faith. Trichy Sunshine Haj Services, the petitioner challenged the action of the respondent in rejecting the application filed by the petitioner through email by Respondent for the allocation of quota to the HGOs for Haj 2023 in contravention of Policy No. Haj-15/28/2022-HAJ-MoMA dated 14th March 2023 in violation of the Principles of Natural Justice, equity and a good conscience and violation of Article 14 and Article 19(1)(g) of the Constitution of India. The petitioner submitted that the petitioner ought to be registered as a firm as per the policy notified by Respondent No. 1 vide Notification No. Haj- 15/28/2022-HAJ-MoMA dated 14th March 2023. Accordingly, vide application dated 23rd March 2023, the petitioner applied the Respondent for registration. The respondent issued notice/circular inviting applications from eligible HGOs for registration and allocation of Quota for Haj-2023. The policy for registration and allocation of Quota for Haj- 2023 was also attached with the said notice. The petitioner submitted without assigning any reasons, without providing an opportunity for hearing and without issuing any defect letter, the respondent rejected the application filed by the petitioner vide impugned Notification dated 05th May 2023. The petitioner made the payment of GST through DRC-03 and intimated the same to the ministry vides letter dated 09.05.2023. Further, the Court vide order dated 09th May 2023 passed a detailed and cogent order in the case of Al Hatim Tours and Travels Pvt. Ltd. and Ors. vs. Union of India in W.P. (C) No. 6016/2023, directed the Respondent to provide reasons and if the aggrieved person, cures the defects/deficiencies, their application be considered. The petitioner filed the representation on 12th May 2023 after clearing the defects raised by the petitioner. However, vide email dated 19th May 2023, the application of the petitioner was once again rejected on the similar grounds that there is non-compliance of the payment of GST, even when the petitioner has paid the GST and submitted the proof of payment of GST vide representation dated 12th May 2023 The respondent submitted that the Ministry shall have the right to suspend/cancel the registration in case of non-compliance with any of the terms and conditions. It was alleged that there has been a gross misrepresentation of facts, by the petitioner HGOs, which has come to light during the visit of a team of officials from the Ministry to the office premises of the petitioner HGOs. A single-judge bench comprising Justice Chandra Dhari Singh observed that registration of the HGOs is an absolute right rather than a privileged right that is bestowed upon the concerned HGO based on the fulfilment of certain conditions as laid out under the Policy. Therefore, the offer made by the HGOs to the pilgrims is subject to certain pre-conditions for the grant of registration and is amenable to the fulfilment of the requisite conditions, the non-compliance of which empowers the Ministry to suspend/cancel the registration as well as for blacklisting the company. It was held that “although restrictions and conditions to the issuance of the Registration Certificate as well as to the Quota allotted to the petitioners/HGOs may be imposed, the same should not be held against the pilgrims who, in good faith, registered with the petitioners/HGOs to undertake the pilgrimage. This Court is of the view that such an action would defeat the purpose of the current Haj Policy and is in derogation of Article 25 of the Constitution of India.” “The pilgrims are not obstructed from completing their journey and undertaking Haj, the comments in the consolidated list of allocation of Haj Quota for HAJ-2023 issued on 25th May 2023 by the respondent which reads as “Registration Certificate & Quota Kept in abeyance till finalization of proceedings in complaint related matter”., the Court held. Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates