Petitioners Directed to Seek Statutory Appeal; High Court Stresses on Non-bypass of Alternate Remedies
Ranchi, April 22, 2026 - In a significant ruling, the Jharkhand High Court has dismissed the writ petition filed by M/s Sujata Udit Builders Private Limited challenging the Order-In-Original issued by the Chief Commissioner, Central Goods and Service Taxes and Central Excise, citing delayed adjudication as a key ground. The court, presided over by Chief Justice M.S. Sonak and Justice Rajesh Shankar, directed the petitioner to avail the statutory remedy of appeal rather than bypassing established legal procedures.
The petition challenged the adjudication process, noting that the show-cause notice was issued on September 29, 2020, but the final order was not made until September 29, 2025, marking a five-year delay. The petitioner’s counsel argued that such a delay vitiates the order. Additionally, the counsel referred to the pending Supreme Court decision in the GMR Airport Infrastructure Ltd. case, which addresses broader issues of delayed adjudication.
The High Court, however, reiterated its stance that judicial review under Article 226 of the Constitution should not be exercised to circumvent statutory remedies, particularly in fiscal matters. It emphasized that the extraordinary jurisdiction under Article 226 is intended to be used sparingly and is not a substitute for the appeal process provided by statute.
The petitioner also expressed concerns over the pre-deposit requirement for filing an appeal, citing financial incapacity supported by audited accounts. Yet, the court maintained that the right to appeal is contingent upon statutory pre-deposits, dismissing claims of inadequacy based solely on audited accounts.
Moreover, the court noted that several other grounds were raised by the petitioner against the Order-In-Original, not limited to delayed adjudication, suggesting that a statutory appeal would allow for a comprehensive review of all issues. The court advised the petitioner to request a stay from the Appellate Authority, referencing the interim order from the Supreme Court.
The decision aligns with similar rulings from the court, as seen in the case of M/s Navjeevan Construction, where petitioners were directed towards alternate remedies. The court underscored that exceptions to bypassing statutory remedies are rare and require extraordinary circumstances, which were not evident in this case.
The judgment is a reminder of the judiciary's commitment to uphold procedural norms and statutory frameworks, ensuring that fiscal matters are handled within the established legal system. The petitioner has been granted the liberty to file an appeal within four weeks, provided all statutory prerequisites are met, assuring that the Appellate Authority will consider the appeal on merits without dwelling on limitations.
Bottom line:-
Writ petition challenging delayed adjudication dismissed. Petitioners directed to avail alternate remedy of statutory appeal. High Court reiterated that judicial review under Article 226 of the Constitution cannot be exercised to bypass statutory remedies, especially in fiscal matters.
Statutory provision(s): Article 226 of the Constitution of India, Goods and Service Tax regulations
