FACTS OF THE CASE

The Petitioner, Ess Dee Industries through its Partner, filed Writ Petition (Civil) No. 16373/2025 under Article 226 of the Constitution of India contesting a Show Cause Notice (SCN) dated 11th December, 2023 for FY 2018‑19 and the consequent adjudication order dated 10th March, 2024 passed by the Sales Tax Officer. The Petitioner also challenged Notification No. 09/2023 (Central Tax) dated 31st March, 2023 and Notification No. 09/2023 (State Tax) dated 22nd June, 2023 on grounds of procedural non‑compliance under Section 168A of the Central Goods and Services Tax Act, 2017 and respective State GST Acts. The petitions were part of a batch including a lead matter DJST Traders Pvt. Ltd. and other related challenges to the impugned notifications. 

ISSUES INVOLVED

  1. Whether the impugned SCN and adjudication order were validly issued when the Petitioner did not receive proper notice, causing denial of opportunity to defend on merits.
  2. Legality and validity of the impugned Central & State GST Notifications extending deadlines under Section 168A of the GST Act without required GST Council recommendations or beyond permissible limit.
  3. Whether the Department’s actions violated principles of natural justice (right to be heard).
  4. Whether earlier judicial pronouncements should guide the present petitions. 

PETITIONER’S ARGUMENTS

The Petitioner contended that:
• The impugned SCN was uploaded on the GST Portal under ‘Additional Notices’ which was not visible, and therefore was not brought to the Petitioner’s attention, resulting in non‑filing of any reply and loss of opportunity for personal hearing.
• The resultant order was passed ex‑parte without affording a fair hearing.
• The impugned notifications extending limitation were ultra vires and lacked prior GST Council recommendation as mandated under Section 168A.
• Similar cases have led Courts to remand matters where opportunity was denied. 

RESPONDENT’S ARGUMENTS

The Respondents supported the SCN and resultant adjudication on grounds that:
• The notices were uploaded in accordance with procedure on the GST Portal.
• Department contended that amendments to portal structure have since ensured notices are visible generally.
• The Respondents argued the Petitioner had procedural avenues and that extension notifications were valid.
• Even if notifications were contested, the primary relief should not be granted based on technicalities. 

COURT ORDER / JUDGMENT FINDINGS

The Delhi High Court (Prathiba M. Singh & Shail Jain, JJ.) held that:
• On facts, the impugned SCN was not brought to Petitioner’s notice in time as the uploading in the ‘Additional Notices’ tab was not properly visible then, thereby violating the Petitioner’s right to be heard.
• The adjudication order was set aside, and the matter was remitted to the adjudicating authority with directions to provide an opportunity to reply and be heard, file responses and consider the matter afresh.
• The Court granted the Petitioner time extension till 30th November 2025 for filing replies and directed proper communication of hearing through visible notices and email/mobile details.
• The challenge to the validity of notifications was left open and subject to outcomes in the Supreme Court matter SLP No. 4240/2025 (M/s HCC‑SEW‑MEIL‑AAG JV vs. Assistant Commissioner & Ors.) and other related writs.
• Pending applications stood disposed. 

IMPORTANT CLARIFICATION 

• Courts must ensure principles of natural justice — especially the right to know the allegations and opportunity to be heard — are upheld before adjudication.
• Non‑receipt or improper visibility of GST notices may vitiate ex‑parte orders.
• Extension notifications under Section 168A GST Act must strictly comply with GST Council recommendations and statutory requirements. 

SECTIONS INVOLVED

• Article 226 – Power of High Court to issue Writs.
• Section 168A – Empowering extension of time limits under CGST Act.
• Relevant provisions under GST for issuance and adjudication of SCNs.

Link to download the order -  https://delhihighcourt.nic.in/app/showFileJudgment/75429102025CW163732025_124055.pdf 

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