Section 83 of the CGST Act, 2017--- Provisional Attachment of Bank Accounts —- The petitioner challenged the communication dated 25.02.2020 addressed to the Bank. The petitioner submitted that the petitioner’s bank account remains blocked since February/March 2020. Nearly two years and four months have passed since the respondents/revenue took recourse to the impugned action. The counsel for the petitioner submitted that a plain reading of the impugned communication would show that there is no reference to Section 83 and the impugned communication was not served on the petitioner. No proceedings, as contemplated under Section 83 , have been commenced against the petitioner. Therefore, the action is violative not only of the provisions of Section 83 , but also of Rule 159(5). The court observed that the scope and effect of the provisions of Section 83 has been decisively ruled upon by the Supreme Court in the Radha Krishnan case and they are bound by the judgment. Moreover, one year time period, will expire only on 01.08.2022 is also flawed.

Held that:- The Hon’ble Court quashed the impugned communication. The respondents will communicate to the concerned bank and the subject bank account will be unblocked.