Section 83 of the CGST Act, 2017—Provisional Attachment of Bank account –Cash Credit Account --- The petitioner challenged the order of provisional attachment of a cash credit account and submitted that the impugned order of provisional attachment of the cash credit account has been passed in the Form GST DRC-22 dated 29.11.2021, under the provisions of Section 83 of the Act. The cash credit account have been opened to enable the applicant to borrow the money from the Bank for the purpose of its business. The decision of this Court in the case of Kaneria Granito Ltd. has been followed in various other matters of the present type over a period of time. The court observed that the settled position of law appears to have been very conveniently over-looked by the respondent. The court observed that the Principal Commissioner, Surat is in contempt. He owes an explanation as to on what basis he has distinguished all the orders passed by this Court. The court observed that the ASG of India, has always come to the rescue of such irresponsible erring officers and the court expected the officers of the rank of the Principal Commissioner to be more cautious in future.

Held that:- The Hon’ble High Court allowed the writ-application and quashed the order of provisional attachment of the cash credit account. Having regard to the fervent request made by ASG, the court expunged the paragraph-6 from the order passed by this Court dated 5th January 2022 with the hope and trust that the officers shall not act in an arbitrary manner and should respect the orders which are passed by this Court.