Heard learned counsel, Mr. Biplabendu Roy for the petitioner and learned counsel, Mr. T.K. Deb for the department on advance copy. Considering the short dispute involved, petition is taken up for final disposal at this stage itself.

Petitioner is a transporter. Petitioner’s vehicle carrying electronic goods of which final destination was Agartala, Tripura was intersected at Churaibari check post on 27.06.2021 on the grounds that validity of one of the e-way bills had expired and in case of another consignment, no e-way bill was generated. Case of the petitioner is that the vehicle carrying the goods had a break down on account of which the transporter had to arrange for another vehicle. In the process, the goods could not enter the State boundary as originally expected due to which delay the e-way bill in relation to one of the consignments had expired. However, the transporter had generated a new e-way bill.

The assessing officer issued show cause notice for levying State as well as Central GST with penalties. The petitioner made a detailed representation opposing such levies. However, the assessing officer passed an order dated 02.07.2021 confirming State and Central GST of ₹ 6,48,696/- and equal amount of penalties. Under this order, therefore, the petitioner’s total liability of tax plus penalty comes to ₹ 12,97,000/- and odd. The petitioner has filed appeal against the order of assessment after depositing 10% of the disputed tax by way of pre-deposit as per the statutory requirements. However, the appellate authority has given the first date of hearing in the month of September, 2021. In the meantime, the assessing officer is demanding full recovery of tax and penalty before releasing the vehicle and the goods. The petitioner has therefore approached this Court for release of the same. Considering the facts of the case and in particular, the fact that the petitioner has preferred appeal against the order of assessment after making pre-deposit of ₹ 64,870/-, in our opinion, if the petitioner provides bank guarantee for 25% of the disputed tax and penalty (inclusive of the pre-deposit which is already made), the vehicle and the goods should be released.

Under the circumstances, the petition is disposed of with a direction that the petitioner shall furnish an unconditional bank guarantee of ₹ 2,60,000/- (Rupees Two lakhs sixty thousand) in favour of the department. As soon as the petitioner fulfills this condition, the vehicle and the goods shall be released immediately. This bank guarantee shall be kept alive till the appeal of the petitioner is disposed of by the appellate authority.

Petition disposed of accordingly. Pending application(s), if any, also stands disposed of.