Section 83 of the CGST Act, 2017 —-Provisional Attachment of Bank Accounts —– The respondents challenged the orders of provisional attachment of bank accounts of the opponents under Section 83 of the Act, 2017. The court observed that the Co-ordinate Bench allowed six writ applications, on the ground that during the period, the opponents are said to have wrongly availed the ITC to the tune of Rs. 59,49,18,103/- could be said to have been adjusted in view of the fact that the opponents paid a total tax during that period aggregating to Rs. 63,62,41,525/-. The appellant counsel submitted that the total ITC availed by the opponents was further transferred to various other individuals/parties. Such parties must have utilized the same accordingly.The court observed that the matter as on date has reached to the stage of issue of show cause notice to the opponents. If the show cause notice is issued, the opponents will have to give an appropriate reply to the same. Thereafter, the adjudication would take place and the final liability will be determined in accordance with law, if any.  

Held that:- The Hon’ble High Court held that it would be open for the department to issue a SCN in the manner they propose to and if the opponents are aggrieved in any manner, they can raise the issues accordingly by way of their reply. It is also open for the department to proceed against all those persons in whose favour the input tax credit availed by the opponents stood transferred respectively in their favour.