The Madras High Court directed the petitioner, M/s. Lucas TVS Limited, to file fresh application for release of blocked funds as there was technical glitches in the GST Portal.
The writ petition has been filed for a Mandamus seeking for a direction to the respondent to release the blocked funds in the petitioner’s Bank Account, and further direct the second respondent not to block funds in any other Bank Account of the petitioner without following the due process of law.
The petitioner filed their GSTR-3B and according to the petitioner, due to technical glitches in the GST Portal, they were unable to capture the ITC eligibility, availed for the month of July 2017 in the GSTR-3B.
The Counsel for the petitioner submitted that the petitioner apprehends that if the amounts are blocked, their business will come to a standstill and that the petitioner will be satisfied if the petitioner’s representation seeking for release of the blocked funds in the petitioner’s Bank Account, held with therespondent is considered, on merits and in accordance with law.
The Court of Justice Abdul Quddhose observed that “No prejudice would be caused to the respondents if the petitioner’s representation seeking for release of the blocked funds in the petitioner’s Bank Account, maintained with the fourth respondent is considered, on merits and in accordance with law”
The Court further noted that since a specific request has not been made by the petitioner for release of the blocked funds in the petitioner Bank Account, maintained with the fourth respondent, the petitioner will have to give a fresh representation to the second respondent seeking for release of the blocked funds in the petitioner’s bank account, maintained with the fourth respondent Bank
The Court also directed the petitioner to submit a fresh representation to the second respondent stating their grievance that have been raised in the affidavit filed in support of this writ petition, within a period of one week from the date of receipt of a copy of the order.
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
