The Hon’ble High Court of Karnataka vide its order dated 23.06.2022 in the matter of M/s Transways India Transport Vs. Joint Commissioner of Commercial Taxes (Appeals – 3), Commercial Tax Officer in Writ Petition No. – 7226 of 2022 (T-Res) held that the order of detention under Section 129 (3) of the CGST Act, 2017 is not sustainable when the diversion of vehicle carrying the goods, was due to human error and it cannot be concluded that the diversion was deliberate as the driver in charge filed an affidavit to that effect, and the intended purchasers also confirmed that they were supposed to receive the said goods.

The present petition has been filed by the Petitioner challenging the orders No. GST.AP.11/2021-22 dated 10.03.2022 & No. JCCT (Vig)/CTO (Vig) – 09/GCH/CR-79/2021-22 dated 13.12.2021.

Facts: –

• That the petitioner is transport operator having a valid GST registration number and was entrusted with the transportation of stainless-steel coils and plates from Mumbai to Bengaluru.
• The lorry in question which belongs to the petitioner was carrying four consignments, out of which two consignments were to be delivered at Peenya Industrial are at Peenya, one consignment at Kalasipalyam and another at S.P. Road cross, Bengaluru.
• The driver of the lorry had to turn towards Peenya Industrial Area from Doddaballapur. However, from Hebbal, the driver of vehicle instead of moving right towards Peenya Industrial Area, took a left turn and moved towards Bommasandra Industrial Area, where the lorry was stopped and checked.
• Further, the driver had all relevant documents, but to move/drive towards Peenya, S.P.Road and new kalasipalyam and not towards Bommasandra Industrial area, so the provisions of Rule 138A and Section 129 of the CGST Act, 2017 were invoked and penalty was imposed by way of impugned order. That the petitioner being aggrieved of the same, has filed the present writ petition.

 

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