M/S S P Metals v. Additional Commissioner of Commercial Taxes

Order-in-Revision, appropriate proceedings has been taken by challenging the same in the present Writ Petition No.4225/2026.

¶3Learned counsel for the petitioner would submit that the goods and conveyance may be released, taking note that the liability imposed by virtue of the first appellate order of 200% of tax has been satisfied.

¶4Learned Additional Government Advocate submits that on previous occasions as well, the petitioner had suffered certain demands that were raised by the Department after having noticed certain lapse and discrepancies, petitioner needs to be put on terms to ensure that in the event that the Revisional proceedings culminate in an order in favour of the revenue and the order under Section 130 is revived, the revenue is

required to have certain assets or security in order to recover and enforce the order to be passed.

¶5However, taking note that the very revision proceedings is still to be concluded and in terms of the order of the first appellate authority, petitioner has satisfied the same, it would be appropriate to put the petitioner on terms regarding his request for release of goods and conveyance.

¶6In light of petitioner having satisfied the demand in terms of the first appellate authority, the revenue is directed to release goods and conveyance. The petitioner is to furnish an indemnity bond so as to meet any liability to the department in the event Revisional proceedings culminate in an order in favour of the revenue and order under Section 130 of the Act, stands revived.

¶7The affidavit filed by the petitioner is taken on record. The undertaking by the petitioner in the affidavit is also noted. It is made clear that the petitioner is required

to abide by the final directions that may be issued in the Revisional proceedings and any breach of undertaking would be construed to be an act of contempt.

¶8Insofar as the challenge made to the Revisional Order, all contentions of the petitioner are kept open to be raised before the Revisional Authority.

¶9Insofar as W.P.No.4273/2026, the petitioner has sought for stay of the order dated 30.01.2026 passed by the Revisional Authority under Section 108(1) of the Act. The Revisional Authority by virtue of the order at Annexure-K had stayed the order of the appellate authority dated 28.01.2026. The first appellate authority had partly allowed the appeal of the petitioner filed challenging the invocation of Section 130. In terms of the said order of the appellate authority, the Order-in-Original came to be modified by modifying the impugned penalty to an order under Section 129(1)(a) by levy of penalty of 200% of the tax.

¶10The petitioner has satisfied the liability that as shown in terms of the order of the first appellate authority. Taking note that the petitioner had succeeded in the first appeal proceedings and has satisfied the liability and taking note of the affidavit filed referred to in the order passed above, it would be appropriate to dispose of the present Writ Petition directing for release of all goods and conveyance.

¶11The petitioner to file an indemnity bond to the revenue at the time of release of the goods and conveyance. It is made clear that the undertaking made in the affidavit would be binding on the petitioner and any breach of undertaking would be construed to be an act of contempt.

¶12All contentions raised regarding the Revisional proceedings are kept open to be raised before the authority. The petitioner relating to proceedings pending in both the writ petitions referred to above, is to appear

before respondent No.1 without further notice on

16.04.2026.

¶13In terms of the above, both the petitions are disposed of. All contentions are kept open in both matters.

Sd/- (S SUNIL DUTT YADAV) JUDGE

MCR

NC:(2026:KHC:15562( WP(No.(4273(of(2026( C/W(WP(No.(4225(of(2026( , ,,HC-KAR( ( ( IN(THE(HIGH(COURT(OF(KARNATAKA(AT(BENGALURU( THDATED(THIS(THE(17 (DAY(OF(MARCH,(2026( BEFORE( THE(HON'BLE(MR.(JUSTICE(S(SUNIL(DUTT(YADAV( WRIT(PETITION(NO.(4273(OF(2026((T-RES)( C/W( WRIT(PETITION(NO.(4225(OF(2026((T-RES)( ( IN(WP(No.(4273/2026( BETWEEN:(( , M/S.,S,P,METALS,, NO.7,8,SRIGANDHAKAVALU,, YASHWANTHAPURA,HOBLI,,, BENGALURU-560091,, REPRESENTED,BY,ITS,PROPRIETOR,, SRI.,SARAVANAN,S/O,SRINIVASAN,A.,,, AGED,ABOUT,45,YEARS., …PETITIONER, Digitally (BY,SRI.,SHREEHARI,,ADVOCATE), signedtiby VIJAYA0P AND:(Location: HIGH COURT0OF 1., ADDITIONAL,COMMISSIONER,OF,COMMERCIAL, KARNATAKA TAXES,, (SMR)-1,,BENGALURU,, TH7 ,FLOOR,,VANIJYA,THERIGE,KARYALAYA-,1,, STKALIDASA,MARG,,1 ,MAIN,,, GANDHINAGAR,,BENGALURU,-,560009., , 2., JOINT,COMMISSIONER,OF,COMMERCIAL,TAXES,, (VIGILANCE),,BENGALURU,, RDV.T.K.-2,BUILDING,,3 ,,FLOOR,,, NC:(2026:KHC:15562( WP(No.(4273(of(2026( C/W(WP(No.(4225(of(2026( , ,,HC-KAR( ( ( 80FT,ROAD,,RAJENDRANAGARA,,, KORAMANGALA,,BENGALURU-560047., , 3., JOINT,COMMISSIONER,OF,COMMERCIAL,TAXES, (APPEALS-1),,BENGALURU,, NDTTMC,,BMTC,BUILDING,,2 ,FLOOR,, SHANTHINAGAR,,BENGALURU-560047., , 4., COMMERCIAL,TAX,OFFICER,(VIGILANCE)-32,, BENGALURU,, THROOM,NO.606,,6 ,,FLOOR,,, B,BLOCK,,V.T.K.-2,BUILDING,,, RAJENDRANAGARA,,KORAMANGALA,,, BENGALURU-560047., , 5., COMMISSIONER,OF,COMMERCIAL,TAXES,, V.T.K.-2,BULLDING,,RAJENDRANAGARA,, KORAMANGALA,,BENGALURU-560047., …RESPONDENTS, (BY,SRI.,K.,HEMAKUMAR,,AGA,FOR,R1,TO,R5), , THIS, WP, IS, FILED, UNDER, ARTICLES, 226, AND, 227, OF, THE,CONSTITUTION,OF,INDIA,PRAYING,TO,ISSUE,A,WRIT,OF, CERTIORARI,OR,ANY,OTHER,APPROPRIATE,WRIT,,ORDER,OR, DIRECTION,,QUASHING,THE,STAY,ORDER,DATED,30.01.2026, PASSED, BY, THE, RESPONDENT, NO.1, UNDER, SECTION, 108(1), OF, THE, ACT, BEARING, NO.SMR-1/GST/BNG/STAY/2025-26, ENCLOSED,HEREIN,AS,ANNEXURE,K,AND,ETC.,,, , NC:(2026:KHC:15562( WP(No.(4273(of(2026( C/W(WP(No.(4225(of(2026( , ,,HC-KAR( ( ( IN(WP(NO.(4225/2026, BETWEEN:, 1., M/S.,S,P,METALS,, NO.7,,8,SRIGANDHAKAVALU,, YASHWANTHAPURA,HOBLI,,, BENGALURU-560091,, REPRESENTED,BY,ITS,PROPRIETOR,, SRI.,SARAVANAN,S/O,SRINIVASAN,A.,,, AGED,ABOUT,45,YEARS., ...PETITIONER, (BY,SRI.,SHREEHARI,,ADVOCATE), AND:, 1., ADDITIONAL,COMMISSIONER,OF,COMMERCIAL,TAXES,, (SMR)-1,,BENGALURU,, TH7 ,FLOOR,,VANIJYA,THERIGE,KARYALAYA-,1,, STKALIDASA,MARG,,1 ,MAIN,,, GANDHINAGAR,,BENGALURU,-,560009., , 2., JOINT,COMMISSIONER,OF,COMMERCIAL,TAXES,, (VIGILANCE),,BENGALURU,, RDV.T.K.-2,BUILDING,,3 ,,FLOOR,,, 80FT,ROAD,,RAJENDRANAGARA,,, KORAMANGALA,,BENGALURU-560047., , 3., JOINT,COMMISSIONER,OF,COMMERCIAL,TAXES, (APPEALS-1),,BENGALURU,, NDTTMC,,BMTC,BUILDING,,2 ,FLOOR,, SHANTHINAGAR,,BENGALURU-560047., , 4., COMMERCIAL,TAX,OFFICER,(VIGILANCE)-32,, BENGALURU,, THROOM,NO.606,,6 ,,FLOOR,,, NC:(2026:KHC:15562( WP(No.(4273(of(2026( C/W(WP(No.(4225(of(2026( , ,,HC-KAR( ( ( B,BLOCK,,V.T.K.-2,BUILDING,,, RAJENDRANAGARA,,KORAMANGALA,,, BENGALURU-560047., , 5., COMMISSIONER,OF,COMMERCIAL,TAXES,, V.T.K.-2,BULLDING,,RAJENDRANAGARA,,, , KORAMANGALA,,, BENGALURU-560047., ...RESPONDENTS, (BY,SRI.,K.,HEMAKUMAR,,AGA,FOR,R1,TO,R5), ,,,,,,,THIS,WP,IS,FILED,UNDER,ARTICLES,226,AND,227,OF, THE,CONSTITUTION,OF,INDIA,PRAYING,TO,ISSUE,A,WRIT, OF, CERTIORARI, OR, ANY, OTHER, APPROPRIATE, WRIT,, ORDER, OR, DIRECTION,, QUASHING, THE, STAY, ORDER, DATED, 30.01.2026, PASSED, BY, THE, RESPONDENT, NO.1, UNDER, SECTION, 108(1), OF, THE, ACT, BEARING, NO.SMR- 1/GST/BNG/STAY/2025-26, ENCLOSED, HEREIN, AS, ANNEXURE,K,AND,ETC.,,, , THESE, PETITIONS,, COMING, ON, FOR, FRESH, MATTERS,, THIS,DAY,,ORDER,WAS,MADE,THEREIN,AS,UNDER:, , CORAM:, HON'BLE,MR.,JUSTICE,S,SUNIL,DUTT,YADAV, , ( ORAL ORDER In W.P.No.4225/2026, the petitioner has sought for setting aside of the order at Annexure-K. The order at Annexure-K is the order staying the order of the appellate authority dated 28.01.2026. It is noticed that the order passed under Section 130 of the Central Goods and Services Tax Act, 2017 (for sh