Facts of the Case

Two connected Public Interest Litigations, filed respectively by the Rajasthan Bar Federation and the Jaipur Tax Bar Association, had been pending before the Rajasthan High Court, Jaipur Bench, for nearly four years on the issue of non-constitution of the GST Appellate Tribunal under Section 112 of the CGST Act. During the hearing, the respondents brought to the Court's notice that a coordinate Division Bench had already taken cognizance of the issue in a separate matter (M/s Shree Krishna Rolling Mills v. Assistant Commissioner), and the Additional Solicitor General informed the Court that the GST Council, in its meeting held on 11.07.2023, had decided to notify the relevant Rules on 01.08.2023, with steps for constituting the Tribunal to follow immediately thereafter.

Issues Involved

  1. Whether these PIL petitions, filed to compel constitution of the GST Appellate Tribunal, should continue to be kept pending given the GST Council's decision and the parallel proceedings already engaging with the same issue in another matter before the same Court.

Petitioner's Arguments

  • The Bar Associations, as petitioners, sought a direction compelling constitution of the Appellate Tribunal, citing the prolonged non-functioning of this statutory forum and the resulting hardship to litigants and the legal fraternity.

Respondent's Arguments

  • The Additional Solicitor General of India informed the Court of the GST Council's decision dated 11.07.2023 to notify the relevant Rules by 01.08.2023, following which steps for constituting the Tribunal would be taken, and sought time to file a supporting affidavit.

Court Order / Findings

  • Noting the developments already recorded in the connected proceedings (M/s Shree Krishna Rolling Mills) regarding constitution of the Tribunal, the Court found no useful purpose in keeping the present PIL petitions pending separately.
  • The Court disposed of both petitions with liberty to revive them in case there is a delay in constitution of the Appellate Tribunal, and further granted the petitioners liberty to intervene in the pending connected proceedings solely to the extent of ventilating their grievance regarding non-constitution of the Tribunal.

Important Clarification

  • Where multiple PIL petitions before the same High Court raise the identical grievance of GST Appellate Tribunal non-constitution, and the issue is already being actively monitored in one lead matter with the GST Council's compliance timeline placed on record, courts commonly consolidate practical oversight into the lead matter, disposing of the parallel petitions with liberty to revive if the promised constitution is delayed.
  • Such disposal with liberty to revive functions as a standing safeguard: petitioners need not refile from scratch but can simply approach the same Court again if the government's stated timeline for operationalising GSTAT is not honoured.

Sections Involved

  • Section 109 of the CGST Act, 2017 - provides for constitution of the Goods and Services Tax Appellate Tribunal and its Benches.
  • Section 112 of the CGST Act, 2017 - governs appeals to the Appellate Tribunal, rendered inoperative pending its constitution.

Decision – In Favour of

The PIL petitions were disposed of with liberty to revive rather than decided on any binary merits basis — a disposition favourable to the petitioner Bar Associations' underlying objective, since it kept the issue alive pending actual constitution of the Tribunal per the GST Council's stated timeline.

Case Details

High Court of Judicature for Rajasthan, Bench at Jaipur, D.B. Civil Writ Petition No. 11167/2019 connected with D.B. Civil Writ Petition No. 16346/2019, Neutral Citation [2023:RJ-JP:16293-DB]; Coram: Hon'ble Mr. Justice Manindra Mohan Shrivastava and Hon'ble Mr. Justice Praveer Bhatnagar; decided on 2 August 2023.

Link to Download the Order

Click here to view/download the full order

Disclaimer

This content is shared strictly for general information and knowledge purposes only. Readers should independently verify the information from reliable sources. It is not intended to provide legal, professional, or advisory guidance. The author and the organisation disclaim all liability arising from the use of this content. The material has been prepared with the assistance of AI tools.