Present petition has been filed challenging the order passed under Section 129(3)(a) of the CGST Act read with U.P. G.S.T. Act as well as the order-in-appeal whereby the appeal preferred by the petitioner has been dismissed.

Contention of the department against the petitioner is that the petitioner was transporting the goods without E-Way bill. The goods allegedly were detained and seized at about 6 AM on 20.07.2022 without the E-Way bill and the E-Way bill was uploaded on the same day at about 10 AM. The authority was of the view that there was a clear violation of the provisions of the Act and the goods were being transported without the requisite E-Way bill.

On the basis of the inspection and the seizure, the Adjudicating Authority was of the view that the total demand against the petitioner for getting the goods released under Section 129(3)(a) of the Act would be Rs.61,76,793/-.

Submission of learned counsel for the petitioner is that the respondents have no authority to determine the valuation of the goods at the time of its release and the value as shown in the tax invoice has to be presumed to be correct unless steps are taken for determination of the value. He further argues that the question of payment of tax had not been determined at that time, thus, the demand is not justified.

Considering the submissions made at the Bar and on perusal of the three orders which are impugned, the authorities were of the impression that the goods were being transported without E-Way bill and thus, an assessment was arrived at to come out with a figure of 200% of the tax payable on such goods. The appeal against the said order has been dismissed.

The matter requires consideration.

Respondents are directed to file counter affidavit within three weeks.

Rejoinder affidavit shall be filed within two weeks thereafter.

List thereafter.

Considering the submissions made at the Bar, as an interim measure, it is provided that goods of the petitioner shall be released on his paying half of the amount demanded i.e. half of Rs.61,76,793/-. For the other half, the petitioner shall submit a indemnity bond as security.

The goods shall be released forthwith after compliance of the both the conditions, as directed above.