CM APPL.6049/2021 (for exemption)

1. Exemption allowed, subject to just exceptions.

2. The application stands disposed of.

W.P.(C) 2064/2021 & CM APPL Nos. 6048/2021 (for interim relief)

3. The Petitioner had filed an application for advance ruling before the Authority on 15th June, 2018, seeking ruling on questions raised in respect of its proposed business. It is aggrieved that the Advance Ruling Authority has not decided its application dated 15th June, 2018 till date. Mr. Puneet Agarwal refers to section 98(6) of the CGST Act and submits that under the statute, the application is to be decided within a period of ninety days from the receipt of the application, however, despite lapse of a substantial period of time, no orders have been passed. He submits that the Petitioner has made several requests to the Authority to adjudicate the matter at the earliest, but nothing has happened and the application is still pending and no final order has been passed. He submits that more than 2 ½ years have lapsed and despite reminders, the authority has failed to act. He submits that the Petitioner is prejudiced and is unable to start the proposed business due to this. He submits that the adjudication and resolution of queries relating to applicability of taxes by the Advance Ruling Authority is necessary in order to have clarity for planning the new venture of red and white de-alcoholised wines.

4. Mr. Shadan Farasat, learned Additional Standing Counsel who appears on advance notice submits that the Advance Ruling Authority of Delhi is presenting not functioning as the quorum of two members is not complete. He submits that one member has to be nominated by the Government of NCT, which has been done and the other one has to be nominated by the CBIC. He submits that the nomination by the CBIC has been made through the Secretariat of NCT of Delhi to the Hon’ble Lieutenant Governor of Delhi, and the notification of the said nomination is still awaited.

5. Having heard the counsels and in the facts and circumstances noted above, we consider it appropriate to dispose of the present petition by directing that as and when the quorum of Advance Ruling Authority is complete and functioning, the application of the Petitioner be decided expeditiously, and preferably within a period of four weeks from the date of completion of the quorum. Also having regard to the fact that since November, 2020, the Advance Ruling Authority has not been conducting the hearings, we make a request to the Hon’ble Lieutenant Governor to take up the matter on priority basis and process the nomination received from the CBIC at the earliest.

6. The registry is directed to transmit a copy of this order to the Office of the Hon’ble Lt. Governor of Delhi. Additionally, Mr. Farasat shall also communicate the order.