Savinder Sharma V/s Director General, Directorate of Revenue Intelligence { HIGH COURT OF DELHI}

Savinder Sharma V/s Director General, Directorate of Revenue Intelligence { HIGH COURT OF DELHI} :

Date of Order : 21-05-2024

simplified explanation of the High Court of Delhi’s ruling in the case of Savinder Sharma v. Director General, Directorate of Revenue Intelligence:

Background:

• Savinder Sharma, the petitioner, sought copies of documents seized during a search conducted by revenue authorities.
• The petitioner claimed that the search was illegal because he had no association with the company against whom the search authorization was issued.
• The revenue authorities countered by stating that they found a signboard of the company on the premises searched, which indicated a connection to the company.

Court’s Decision:

• The High Court disposed of the writ petition with the following directives:
  • Directed the revenue authorities to decide the petitioner’s representation seeking copies of the seized documents within two weeks.
  • Maintained that the rights and contentions of both parties remain open to be addressed in any subsequent proceedings.
  • Emphasized that the court did not delve into or comment on the merits of the arguments presented by either party.
  • Allowed the petitioner to pursue further legal remedies if aggrieved by any future decisions made by the revenue authorities.

Explanation:

• Seizure and Allegations: The petitioner alleged that the search and seizure of documents were illegal because he had no involvement with the company targeted by the search.
• Authority’s Response: The revenue authorities justified the search by pointing out the presence of the company’s signboard on the premises searched, suggesting a link between the petitioner and the company.
• Court’s Directive: While not making a determination on the legality of the search itself, the court directed the revenue authorities to promptly address the petitioner’s request for copies of seized documents.
• Legal Process: By ordering the disposal of the representation within two weeks, the court ensured that the petitioner’s rights to access the seized documents were protected under the law.
• Future Recourse: The court maintained the petitioner’s right to challenge any unfavorable decisions through appropriate legal channels if dissatisfied with the outcome of the representation.

This ruling underscores the importance of due process in search and seizure operations under GST laws, ensuring that affected parties have access to legal remedies and fair treatment in administrative proceedings.

Relevant Sections : 67 of CGST Act.