Order Date: 20 December 2024

Parties: M/S Vishva Electrotech Ltd Vs State Of U.P. And 2 Others

Facts - 

• The Petitioner, M/S Vishva Electrotech Ltd, is having multi-registration, made a stock transfer from its Orissa branch to Kanpur, Uttar Pradesh. The goods in transit were intercepted and issued Form GST MOV02 on the ground that in the e-way bill, place of destination as Ghaziabad was mentioned. 
• The petitioner moved an application in terms of Government Circular dated 31.12.2018 but instead of treating the petitioner as a owner of the goods, the order has been passed in the name of driver. 

Issue - 

• Whether considering the driver as owner of intercepted goods are proper?

Order -

• The Single Bench of Hon'ble High Court observed that petitioner is both i.e. the consignor and consignee as the goods in question is a stock transfer from State of Orrisa to Kanpur, Uttar Pradesh and, therefore, the petitioner ought to have been treated as the owner of the goods.
• Once the petitioner being the owner of the goods, approached the authorities, they were bound by the Circular dated 31.12.2018 to consider him the owner of the goods.
• Further, in the case of M/s Riya Traders wherein it has specifically been held that once the consignor and consignee of the goods comes forward, then the proceedings should have been initiated against the owner of the goods in accordance with the law. Therefore, the authorities were not justified not recognizing the petitioner as the owner of the goods, which is evident from the material available on record. 
• The writ petition is accordingly allowed.