1 APHC010375612025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3529] WEDNESDAY,THE SEVENTEENTH DAY OF SEPTEMBER TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE R RAGHUNANDAN RAO THE HONOURABLE SRI JUSTICE T.C.D.SEKHAR WRIT PETITION NO: 19427/2025 Between: 1. R K I BUILDERS PRIVATE LIMITED, (CIN U45200AP2003PTC40886) D.NO.12-123, SV NAGAR, NEAR WEST RAILWAY STATION, TIRUPATI-AP.517502. (HAVING THEIR REGISTERED OFFICE AT HYDERABAD) REP BY ITE DIRECTOR, MR.GILLELLA JAGAN MOHAN REDDY. ...PETITIONER AND 1. THE SUPERINTENDENT OF CENTRAL TAXES, RANGE-3, TIRUPATI, D.NO. 15-30/4, SRINIVASA TOWERS, PADMAVATHI NAGAR, OPP SRI PADMAVATTII MAHILA UNIVERSITY, TLRUPATI-517602. 2. THE CHIEF COMMISSIONER OF CUSTOMS CENTRAL TAX, VISAKHAPATNAM ZONE, GST BHAVAN, PORT AREA, VISAKHAPATNAM. 3. UNION OF INDIA, REP.BY ITS PRINCIPAL SECRETARY, MINISTRY OF FINANCE, 3RDFLOOR, JEEVAN DEEP BUILDING, SANSAD MARG-NEW DELHI-110001. ...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 to issue any order or direction more particularly one in the nature of , on WRIt of Mandamus or any other appropriate writ or order or direction declaring the proceedings of the order for canceLLation of Registration 2 passed by the Reference Number M37M25030255N dt15-6-2025 (Annexuie P-1) passed under Ruie 22 (3) R/w Sec 29 (2) (b) of the A.P./Gentral Goods SService Tax Act, 2017 after issuance of the show cause notice in form GST REG-17 dt. 22 06 2025 Annexure P-2) without opportunity of personal hearing and also questioning the in action for not considering the application for revocation of ergistraBon in Form GST REG-21 Dt. 05.07.2025 (Annexure P-3), as arbitrary, in violation of principles of natural justice contrary to the provisions Of the A.P./Central Goods and Service Tax Act 2017 (herein after referred to as the Act. Hence, the orders of the 1st Respondent is liable to be set aside and to pass s Counsel for the Petitioner: 1. K ADI SIVA VARA PRASAD Counsel for the Respondent(S): 1. P S P SURESH KUMAR The Court made the following Order: (per Hon’ble Sri Justice R. Raghunandan Rao) The petitioner which is in the business of ‘Works Contract Services’ had registered itself as a registered person under the GST on 17.07.2018. Thereafter, the petitioner had undergone Corporate Insolvency Resolution Process (CIRP) and a new management had taken over the petitioner, under the orders of the National Company Law Tribunal, Hyderabad Bench, dated 29.01.2025. 2. On account of the disruption due to the CIRP process, the petitioner claims that it would unable to file its returns from February, 2025 onwards. In any event, the 1st respondent issued a show cause notice, dated 22.05.2025, for cancellation of Registration, on the ground that the petitioner was not conducting its business in the declared place of business and that it was not found in the place of business so declared. 3 3. The 1st respondent had thereafter cancelled the registration of the petitioner, with retrospective effect from 01.07.2017. 4. The petitioner challenges this order, dated 15.06.2025, on various grounds, on merits, and also on the ground that the show cause notice had only proposed cancellation of registration while the impuged order cancelled the registration with effect from 01.07.2017, which was not contemplated in the show cause notice. 5. Sri P.S.P. Suresh Kumar, the learned Standing Counsel appearing for the respondents would contend that the registration of the petitioner was cancelled as the office address given by the petitioner, for registration, under the GST Act, was vacant and the petitioner had ceased to do business from the said address. He would submit that the respondents were entitled to cancel the registration of the petitioner as one of the requirements of registration is that the registered person will operate and conduct business from the address disclosed to the authority registering the petitioner. 6. Learned counsel for the petitioner would contend that the order of cancellation is liable to be set aside on the simple ground of violation of principles of natural justice. 7. A perusal of the show cause notice would show that the show cause notice, while seeking explanation from the petitioner as to why the registration should not be cancelled, did not state that the order of cancellation 4 would be from any previous date. However, the order of cancellation states that cancellation would be with effect from 01.07.2017. 8. The purpose of issuing a show cause notice is to place the noticee, on notice, as to the proposed action of the authority issuing the notice and to give an opportunity to the noticee to explain why the said proposed action should not be taken. In such a situation, any action taken by the authority issuing the notice would have to be within the four corners of the terms of the said notice and any action taken, beyond the terms set out in the notice, would be violative of principles of natural justice, as the affected person had not been given notice of such an action. 9. In the circumstances, we would have to hold that there, was violation of principles of natural justice, requiring the order of cancellation of registration, dated 15.06.2025, issued by the 1st respondent is set aside and the matter is remanded back to the 1st respondent for appropriate orders, after giving an opportunity of hearing to the petitioner, after setting out the proposed action of the 1st respondent. 10. Accordingly, this Writ Petition is allowed. There shall be no order as to costs. As a sequel, miscellaneous petitions, pending if any, shall stand closed. _______________________ R.RAGHUNANDAN RAO,J _______________ T.C.D.SEKHAR,J RJS 5 HON’BLE SRI JUSTICE R. RAGHUNANDAN RAO HON’BLE SRI JUSTICE T.C.D.SEKHAR WRIT PETITION NO: 19427/2025 (per Hon’ble Sri Justice R. Raghunandan Rao) Dt: 17.09.2025 RJS