PADMAVATI INDUSTRIES Vs. COMMISSIONER OF CUSTOMS (PREVENTIVE), JAIPUR, NCR

JUDGEMENT

(1.) Petitioner has filed the petition challenging the order Annexure-3 dated 4.6.2019, whereby, bank account of the petitioner company was frozen.

(2.) Learned counsel for the petitioner has submitted that the investigation in the present case had been initiated and was being carried out under the provisions of Central Goods and Service Tax Act, 2007. Hence, freezing of the bank account by Deputy Commissioner (Customs) under the provisions of Customs Act , 1962 was not permissible. Moreover, no power to issue orders for freezing of bank account was available under the Customs Act , 1962 and the said power had only been introduced by way of amendment to Section 110(5) inserted by the Finance (No.2) Act , 2019, dated 1.8.2019. The said power had only been granted to Commissioner of Customs for a period not exceeding six months with the maximum cap of one year.

(3.) In support of her arguments, learned counsel for the petitioner has placed reliance on the case of Balaji Enterprises vs. Union of India (2017 (356) ELT 529 (Del.), wherein it was held as under:-