Madras High Court
WP/40657/2026 of K.P.MARIMUTHU REDDIAR AGENCIES Vs ASSISTANT COMMISSIONER (ST) (FAC) on 6 October 2026
WP No. 40657 of 2026
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 06-10-2026
CORAM
THE HON'BLE MR JUSTICE KRISHNAN RAMASAMY
WP No. 40657 of 2026
and WMP.Nos.45607 and 45608/2026
CNR: {HCMA012399592026}
K.P.Marimuthu Reddiar Agencies
Minjur Kattur Road, Thiruvellavoyal Village Ponneri, Tiruvallur 601203.
..Petitioner(s)
Vs
1. Assistant Commissioner (st) (fac)
Ponneri Assessment Circle, Room No. 106, 1st Floor, Integrated Commercial Taxes Building, Elephant Gate, Wall Tax Road, Chennai
600003.
2. Karur Vysya Bank
S.No. 213/17, T11 Road, Minjur, Thiruvallur
601203.
..Respondent(s)
Writ Petition filed under Article 226 of the Constitution of India praying to issue a Writ of Certiorarified Mandamus calling for the records relating to the impugned order passed by the 1st respondent in GSTIN
No.33AAQFK49521ZH/2021-22 dated 27.12.2025 together with the summary of order issued in FORM GST DRC -07 bearing reference No.ZD331225412984F dated 27.12.2025 and the consequential Recovery notice in FORM DRC 13 dated 28.08.2026, quash the same and consequently direct the 1st respondent to reconsider the matter afresh by permitting the petitioner to submit all relevant records, documents and objections and thereafter pass orders on merits after affording the petitioner an opportunity of personal hearing.
For Petitioner(s):
Mr.V.Prashath Kiran
WP No. 40657 of 2026
For Respondent(s):
Mr.R.Sethu Prabakaran, Government Advocate for R1
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ORDER
This Writ Petition has been filed challenging the impugned assessment order passed by the 1st respondent dated 27.12.2025 and the consequential recovery notice issued in Form GST DRC-13 dated 28.08.2026.
2. The learned counsel appearing for the petitioner submitted that the petitioner is engaged in the business of running a petrol and diesel retail outlet. He submitted that although assessment proceedings were initiated, the relevant notices were merely uploaded on the GST common portal. Consequently, the petitioner remained unaware of the proceedings and was unable to submit their objections or participate in the personal hearing. He further submitted that these petroleum commodities constitute non-GST supplies by virtue of Section 9(2) of the Central Goods and Services Tax Act, 2017, as no notification has been issued to date bringing such products within the levy of GST. He contended that these petroleum products continue to fall strictly under the purview of the Value Added Tax (VAT) regime.
3. The learned counsel for the petitioner drew the attention of this Court to an earlier order dated 29.11.2025 passed by the very same respondent in
WP No. 40657 of 2026
respect of the petitioner, wherein it was explicitly held that petroleum products do not fall within the purview of GST. However, in the present case, the respondent proceeded to pass an ex-parte order dated 27.12.2025, treating the petroleum products as taxable supplies under the GST regime on the ground that they do not qualify as exempted supplies. He submitted that the impugned order has been passed mechanically and without any application of mind.
4. The learned Government Advocate appearing for the 1st respondent submitted that since no supporting documents were produced by the petitioner, the respondent treated the petitioner's petroleum products as non-exempted supplies and accordingly proceeded to pass the impugned adjudication order.
5. Heard both sides and perused the materials available on record.
6. It is evident that the impugned order dated 27.12.2025 is an ex-parte order passed without affording the petitioner a fair opportunity to produce their relevant records. Furthermore, a perusal of the record reveals a glaring contradiction. In a closely related matter, the respondent had passed an order dated 29.11.2025 holding that the petitioner's petroleum products are non-GST supplies and would not attract the levy of GST. Surprisingly, the very same officer has passed the present impugned order dated 27.12.2025, taking a diametrically opposite view merely because the petitioner failed to appear or
WP No. 40657 of 2026
produce documentary evidence. Such contradictory positions taken by the same authority reveal a complete lack of application of mind.
7. Since the impugned order has been passed in violation of the principles of natural justice and is built on conflicting positions taken by the respondent, this Court is inclined to set aside the same.
8. Accordingly, the impugned assessment order dated 27.12.2025 and the consequential recovery notice in Form GST DRC-13 dated 28.08.2026 are set aside, and the matter is remanded to the respondent for fresh consideration.
(i) The impugned order dated 27.12.2025 is set aside and the matter is remanded to the respondent for fresh consideration. Since the petroleum products not comes under the purview of GST, this Court is not inclined to impose any conditions.
(ii) The petitioner shall file their reply/objection along with the required documents, if any, within a period of three weeks from the date of receipt of a copy of this order.
(iii) On filing of such reply/objection by the petitioner, the respondent shall consider the same and issue a 14 days clear notice, by fixing the date of personal hearing, to the petitioner and thereafter, pass appropriate orders on merits and in accordance with law, after hearing the petitioner, as
WP No. 40657 of 2026
expeditiously as possible.
(iv) Considering the fact that the impugned orders itself have been set aside, this Court is of the opinion that the attachment made on the bank account of the petitioner cannot survive any longer and hence, it is to be lifted. As a sequel, the respondent is directed to instruct the concerned Bank to de-freeze the bank account of the petitioner, immediately upon the production of a copy of this order.
9. With the above directions, this writ petition is disposed of. No costs. Consequently,
Consequently
WMP.No.45607/2026
is
ordered. WMP.No.45608/2026 is closed. 06-10-2026 Index: Yes/No Speaking/Non-speaking order Neutral Citation: Yes/No SK To
1. Assistant Commissioner (st) (fac) Ponneri Assessment Circle, Room No. 106, 1st Floor, Integrated Commercial Taxes Building, Elephant Gate, Wall Tax Road, Chennai 600003.
WP No. 40657 of 2026
KRISHNAN RAMASAMY, J. SK WP No. 40657 of 2026 06-10-2026