Section 74 of the CGST Act, 2017 — Show Cause Notice – The Petitioner challenged the impugned order dated 04.01.2023 passed under Section 74 of the Act. The court observed that that the grounds raised by the petitioner stating that the petitioner has not been granted sufficient opportunity to send the reply to the show cause notice, which is dated 22.11.2022, has to be accepted. In the said show cause notice, dated 22.11.2022, the petitioner was called upon to submit his reply by 23.11.2022. The petitioner has sought time to submit a detailed reply and a detailed reply was also sent on 08.12.2022. But the reply has not been considered by the respondents.The show cause notice is also bald and cryptic and the exact details of the violations committed by the petitioner have not been disclosed in it. The impugned order has been passed by total non application of mind to the reply dated 08.12.2022.

Held that:- The Hon’ble High Court set aside the impugned order and the consequential order dated 05.01.2023 and remanded the matter back to the 1st respondent for fresh consideration on merits and in accordance with law, after affording a fair hearing including granting them the right of personal hearing.