The National Company Law Tribunal (NCLT), Indore Bench, has held that a Central Goods andServices Tax (CGST) Superintendent was guilty of contempt as he did not comply with the refund directions during the moratorium
The case from the Corporate Insolvency Resolution Process (CIRP) of Bhagwan Motors Pvt. Ltd in June 2019. During the moratorium, the department recovered tax dues from the corporate debtor’s accounts, despite the statutory bar under Section 14 of the Insolvencyand Bankruptcy Code (IBC).
The resolution professional challenged the recovery. On 1 September 2023, the tribunal directed that the cgst authorities had to refund the amounts to the corporate debtor within two weeks. Amit chopra the applicant…