Cont.P.No.345 of 2025 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 06.02.2026 Coram The Honourable Mr.Justice C.Saravanan Cont.P.No.345 of 2025 M/s. Gaurav Metal Rep. By its Partner, Mr.Sanjay Mittal ...Petitioner Vs. 1. Mr.Pandiraja The Additional Commissioner, Central Goods and Services Tax and Central Excise Enforcement & Compliance Management, Chennai North Commissionerate No.26/1, Mahatma Gandhi Road Chennai – 600 034 2. Mr.Ramaroa Reddy The Superintendent Central Goods and Services Tax and Central Excise Enforcement & Compliance Management, Chennai North Commissionerate No.26/1, Mahatma Gandhi Road Chennai – 600 034. ...Respondents Prayer Contempt Petition filed under Section 11 of the Contempt of Courts Act, 1971 for wilful disobedience of the Order dated 07.09.2023 passed by this Court in WP.No.26209 OF 2023. For Petitioner : Mr.Saurabh Sankar Sengupta For Respondents : Mr.Mohana Murali Senior Standing Counsel 1/8 https://www.mhc.tn.gov.in/judis Cont.P.No.345 of 2025 Order This Contempt Petition has been filed for wilful disobedience of the Order dated 07.09.2023 passed by this Court in W.P.No.26209 of 2023 by the Respondents. 2. The operative portion of the Order dated 07.09.2023 is extracted hereunder:- “Mr.V.Sundareswaran, learned Senior Standing Counsel takes notice on behalf of the respondents and submits that all the relied upon documents in the Show Cause Notice dated 04.08.2023 has been furnished and all the documents which were seized during the course of search and seizure will be returned to the petitioner within a period of four weeks from today. 2. Recording the above submission of the learned Senior Standing Counsel for the respondents, this Writ Petition is disposed of at the time of admission, by dispensing with the requirement of filing of counter affidavit, by directing the second respondent to furnish/return all the documents seized from the petitioner's premises within a period of four weeks from today. 3. The petitioner shall file additional reply/representation to the above Show Cause Notice within a period of four weeks thereafter. 4. The second respondent shall pass appropriate orders on merits and in accordance with law within a period of two weeks thereafter. No costs. Connected Writ Miscellaneous Petition is closed. ’’ 2/8 https://www.mhc.tn.gov.in/judis Cont.P.No.345 of 2025 3. The learned counsel for the Petitioner has submitted that the Order passed by this Court has been only partially complied with, as only part of the documents have been returned to the Petitioner and still there are certain other important documents that are yet to be returned. 4. On the other hand, the learned Senior Standing Counsel for the Respondents has filed an Affidavit in November, 2025, wherein, it is stated as under:- ‘’3.4. In compliance with the directions of the Hon'ble High Court, the petitioner was requested to collect the required documents from the department vide letter dated 09.11.2023. 3.5. As per the Order of Seizure in Form GST INS-02 dated 21.12.2021, various documents were seized under 15 serial numbers during the search operation conducted on that date. Out of these, documents at SI. Nos. 12 to 15 were returned to the petitioner on 24.01.2022. 3.6. Further in pursuant to the directions of the Hon'ble High Court of Madras, documents seized under Sl. Nos. 2, 5, 6, 7, 8, 10, and 11 were fully returned on 20.11.2023, duly acknowledged by the petitioner. Thus, out of the total 15 items seized, 11 items were returned on 24.01.2022 and 20.11.2023. 4. The respondents humbly submit that, due to paucity of office space, the Headquarters Preventive Unit shifted old seized records to a common store room, which was also utilized by 3/8 https://www.mhc.tn.gov.in/judis Cont.P.No.345 of 2025 other sections for storage. During this process, some files became inter-mixed with those of other sections. Hence, the documents could not be returned in entirety. Intensive searches were undertaken, and the following seized documents were subsequently traced and are returned to the petitioner on 24.10.2025. SI.No.As per order of seizur Description of Goods (Yet to be returned) Quantity / Units returned on 24.10.2025 1 Sales Bills 03 3 Purchase Bills 05 4 Purchase Register 02 9 Bank Statement Files 03 5. . It is further humbly submitted that after returning of above documents, the position of seized documents is as follows:- SI.No . As per order of seizur e Description of Goods (Yet to be returned) Quantity or Units Quantity/ Units returned Balance Documents to be returned 1 Sales Bills 11 03 8 2 Sales Register 3 Fully returned on 20.11.2023 3 Purchase Bills 06 05 1 4 Purchase Register 02 Fully returned on 24.10.2025 5 Ledger Register 04 Fully returned on 20.11.2023 6 Stock Register 02 Fully returned on 20.11.2023 7 Cash Book Register 02 Fully returned on 20.11.2023 8 Bank Register 04 Fully returned on 20.11.2023 9 Bank Statement Files 04 03 1 10 File named TCS 31.03.2021 – Debit Notes 01 Fully returned on 20.11.2023 4/8 https://www.mhc.tn.gov.in/judis Cont.P.No.345 of 2025 11 Made up files containing loose sheets numbered 1 to 24 01 Fully returned on 20.11.2022 12 Post dated Cheque 03 Fully returned on 24.01.2022 13 Post dated Cheque 03 Fully returned on 24.01.2022 14 Post dated Cheque 01 Fully returned on 24.01.2022 15 Post dated Cheque 07 Fully returned on 24.01.2022 5.1 It is further humbly submitted that the officers of the HPU section, as well as other sections, frequently access the store room to retrieve records, and during such movement, certain files may have been inadvertently misplaced or mixed with other records. Nevertheless, most of the seized documents have already been returned. and the remaining few have been traced and are proposed to be handed over shortly. Sincere and continuous efforts are being made to trace the balance documents, which will be returned to the petitioner as soon as they are located. 6. It is further humbly submitted that the respondent has acted in good faith and with due diligence, without any will full or deliberate disobedience of the Hon'ble Court's orders. 6.1. The present affidavit is submitted to place the factual position on record for kinds consideration. 7. Therefore, it is respectfully prayed that this Hon'ble Court may be pleased to this affidavit on record the close the contempt and thus render justice.’’ 5. The failure on the part of the Respondents to return the documents in time has resulted in adjudication and issuance of Show Cause Notice No.04/2023-GST-CH.N(ADC) dated 04.08.2023 to the petitioner. 5/8 https://www.mhc.tn.gov.in/judis Cont.P.No.345 of 2025 6. The said Show Cause Notice dated 04.08.2023 has been issued alleging that the Petitioner has availed an Input Tax Credit on the basis of fake invoices issued by the fake Entities without the actual receipt of the goods, which was utilized for discharging the tax liability. 7. It is noticed that there is a substantial compliance of the Order dated 07.09.2023 of this Court in W.P.No.26209 of 2023 and therefore, adjudication of the proceedings initiated vide Show Cause Notice No.04/2023-GST-CH.N(ADC) dated 04.08.2023 cannot be kept pending indefinitely. 8. That apart, the issue as to whether all the documents have been received by the Petitioner or not cannot be adjudicated in a Contempt Petition and that it is for the Petitioner to establish that all relevant documents, which were seized by the Respondents have been furnished or not before the Respondent in the show cause proceedings. 6/8 https://www.mhc.tn.gov.in/judis Cont.P.No.345 of 2025 9. It is open for the petitioner to canvass all issues before the Respondent in the show cause proceedings. 10. Therefore, this Contempt Petition stands closed with liberty to the Petitioner to raise a defence, as stated above, in the proceedings initiated vide Show Cause Notice No.04/2023-GST-CH.N(ADC) dated 04.08.2023. No costs. 06.02.2026 sd Index : yes/no To 1. Mr.Pandiraja The Additional Commissioner, Central Goods and Services Tax and Central Excise Enforcement & Compliance Management, Chennai North Commissionerate No.26/1, Mahatma Gandhi Road Chennai – 600 034 2. Mr.Ramaroa Reddy The Superintendent Central Goods and Services Tax and Central Excise Enforcement & Compliance Management, Chennai North Commissionerate No.26/1, Mahatma Gandhi Road Chennai – 600 034 7/8 https://www.mhc.tn.gov.in/judis Cont.P.No.345 of 2025 C.Saravanan,J., sd Cont.P.No.345 of 2025 06.02.2026 8/8 https://www.mhc.tn.gov.in/judis