APHC010296912025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3541] WEDNESDAY, THE SIXTEENTH DAY OF JULY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO THE HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION NO: 15139/2025 Between: 1. ALMOND KING PRIVATE LIMITED, DOOR NO 4-126/A, MULPURU, AMRUTHALURU, KUCHIPUDI, BAPATIA, ANDHRA PRADESH - 522313 REP. BY ITS DIRECTOR POTIA RAMAKRISHNA, S/O POTIA GANGAIAH, AGED ABOUT 41 YEARS, R/O 5-83, NEARBY TEMPLE, MANUKONDAVARIPALEM-VILLAGE, CHILAKALURIPET MANDAL, PALNADU DISTRICT. ...PETITIONER AND 1. THE STATE OF ANDHRA PRADESH, REVENUE (COMMERCIAL TAX) DEPARTMENT, REP BY ITS PRINCIPAL SECRETARY, SECRETARIAT BUILDINGS, VELAGAPUDI, AMARAVATHI, GUNTUR DISTRICT. 2. THE ASSISTANT COMMISSIONER ST, ABOVE CANARA BANK, NEAR RAILWAY STATION, 13TH WARD, SATYANNARAYANA PURAM, BAPATIA, ANDHRA PRADESH - 522101. ...RESPONDENT(S): Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased topleased to issue a writ, order, or direction, more particularly one in the nature of WRIT OF MANDAMUS, declaring the action of the 2nd Respondent in issuing the Show Cause Notice vide Reference No. 2 ZA370525093531E, dated 27-05- 2025, and suspending the Petitioner's GST registration (GSTIN 37AAYCA6388E1ZY) through the same as illegal, arbitrary, unconstitutional, and consequently set aside the Show Cause Notice and suspension order vide Reference No ZA370525093531E, dated 27-05-2025 issued by 2nd respondent, while directing the 2nd respondent to restore the Petitioner registration and pass IA NO: 1 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased Pleased to suspend the suspension of the Petitioner’s GST registration (GSTIN: 37AAYCA6388E1ZY) by the 2nd respondent through Show Cause Notice vide Reference No. ZA370525093531E, dated 27-05-2025, while directing the said respondent to refrain from taking any coercive action pursuant to the said impugned notice, and pass Counsel for the Petitioner: 1. SASANKA BHUVANAGIRI Counsel for the Respondent(S): 1. GP FOR COMMERCIAL TAX 3 The Court made the following Order: (per Hon’ble Sri Justice R. Raghunandan Rao) The petitioner is carrying on the business of trading in cashew nuts. The petitioner had taken on lease a factory premises from his landlord for the purposes of carrying on his business. Proceedings had been initiated under the Andhra Pradesh Revenue Act, 1864, against the landlord of the petitioner for recovery of certain dues. At that stage, the petitioner approached this Court, by way of W.P.No.33465 of 2023, contending that the right of the petitioner to utilize the factory premises and the machinery which is under attachment could not be taken away as the term of the lease was for 11 months commencing from 07.06.2023. 2. This Court, by an Order dated 24.07.2024, had disposed of this Writ Petition leaving it open to the petitioner to approach the commercial tax authorities as well as his landlord, for renewal of the lease subject to the consent being given by the tax authorities and to remit the rental amounts to the tax authorities directly. 3. In pursuance of this observation, the petitioner appears to have approached the landlord and tax authorities for renewal of the lease and the payment of rental amount. As the rent fixed by the tax authorities was not acceptable, the petitioner appears to have withdrawn from the proposal of such renewal. 4. After the petitioner did not press for renewal, the tax authorities issued a show-cause notice to the petitioner, dated 27.05.2025, contending that the taxpayer had not complied with the directions issued by this Court, in W.P.No.33465 of 2023, dated 24.07.2024. Apart from this, the said notice also stated that the registration of the petitioner had been suspended, with effect from 27.05.2025. 5. Aggrieved by this Order, the petitioner has approached this Court by way of the present Writ Petition. 4 6. A reading of the Order of this Court, dated 24.07.2024, makes it clear that it was open to the petitioner to approach the authorities for renewal of the lease. There was no direction to the petitioner for compulsory renewal the lease or that he should pay rent fixed by the tax authorities. In such circumstances, the issuance of the notice for cancellation of registration, dated 27.05.2025 and the action of suspending the registration of the petitioner, on such a ground is not in accordance with the directions of this Court, in W.P.No.33465 of 2023, dated 24.07.2024. 7. In the circumstances, this Writ Petition is allowed setting aside the show-cause notice for cancellation of registration, dated 27.05.2025. 8. However, this would not preclude the authorities from taking any action in this regard if there are any other grounds for such cancellation or suspension. There shall be no order as to costs. As a sequel, pending miscellaneous applications, if any, shall stand closed. ________________________ R. RAGHUNANDAN RAO, J _____________________ SUMATHI JAGADAM, J Dated: 16.07.2025 BSM 5 THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO AND THE HONOURABLE SMT JUSTICE SUMATHI JAGADAM WRIT PETITION No.15139 of 2025 16-07-2025 BSM