Section 73 of the CGST Act, 2017— Show Cause Notice –- The petitioner challenged the impugned order dated 4.8.2021 and the impugned notice of demand dated 5.8.2021, on the ground that the same has been issued without following the due provisions of Act. The petitioner contended that during scrutiny of its returns, the respondent on discovering the mismatch of the Form GSTR 2A and Form GSTR 3B returns for the FY 2019-20, issued a Summary of SCN dated 03.11.2020 alleging that it had taken excess input tax credit. The Summary of the SCN was not accompanied by SCN. The respondent counsel submitted that the tax authorities prior to the view taken by this Court with regard to the issue in hand that issuance of detailed SCN is a condition precedent for initiation of proceeding under Section 73 of the Act; bore a general perception that issuance of summary show cause notice is sufficient for initiation of proceeding under Section 73 of the Act. Summary of SCN cannot substitute or be deemed as proper show cause notice as per Section 73 of the Act. The court observed that neither the proper show cause notice was given instead only summary of show cause in the Form DRC-01 was issued and further no personal hearing was granted to the petitioner. Thus, it is a glaring example of violation of principle of natural justice and mandatory procedure prescribed under law and as per the law laid down in the case of Magadh Sugar & Energy Ltd. Vs. State of Bihar & others reported in (2021) SCC Online Supreme Court 801.

Held that:- The Hon’ble High Court set aside the impugned summary of show cause notice dated 03.11.2020 and set aside the summary of order dated 05.08.2021 and impugned order dated 04.08.2021.