GST Suspension & Bank Attachment: HC Dismisses Writ Citing availability of Statutory Appellate Remedy

The High Court has dismissed a writ petition filed by Aida Bitumex and its proprietor challenging search proceedings, suspension of GST registration, provisional attachment of bank accounts and continued retention of seized goods and documents, holding that the petitioners had an effective statutory remedy of appeal under the Assam GST Act, 2017.

A Single Bench of Justice Manish Choudhury observed that the issues raised in the writ petition were already connected with adjudication orders passed under Sections 74 and 74A of the AGST Act on 31 December 2025, and the petitioners were at liberty to challenge those orders before the appellate authority.

The petitioners had sought multiple reliefs including revocation of GST registration suspension, release of seized goods and documents, lifting of provisional attachment of bank accounts under Section 83, quashing of search authorization issued in Form GST INS-01 and summons issued by the State Tax authorities. They also sought compensation alleging unlawful retention of documents, illegal freezing of bank accounts and disruption of business operations.

The High Court noted that during the pendency of the earlier writ petition, final orders under Sections 74 and 74A of the AGST Act had already been passed by the authorities on 31.12.2025.

The Court recorded that an earlier writ petition filed by the petitioners challenging the procedural actions of the department had already been dismissed on 27 January 2026 after granting liberty to assail the adjudication orders before the appellate forum. The Court further noted that though the petitioners claimed to have filed an appeal, the same was not maintainable as the mandatory pre-deposit requirement under the AGST Act had not been complied with. In this case, also mention that:

The Bench observed that all grievances raised in the present writ petition could be agitated before the appellate authority in proceedings challenging the orders dated 31.12.2025.

Holding that no grounds were made out to entertain the writ petition under Article 226 of the Constitution, the High Court dismissed the petition and reiterated that the statutory appellate remedy remained available to the petitioners.

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