No Review Of Writ When GSTAT Appeal Is Available: Madhya Pradesh High Court

In a case involving bogus invoicing, the Madhya Pradesh High Court on 16 January reiterated that when an appellate remedy is available before the Goods and Services Tax Appellate Tribunal (GSTAT), review of an earlier order which declined a writ petition was not warranted. A Division Bench of Justice Vivek Rusia and Justice Binod Kumar Dwivedi was hearing a review petition against its 5 August 2025 decision, which had relegated the petitioner to the remedy of appeal before GSTAT. The Bench...

Executing Court Cannot Add Interest on Capital Expenditure If Arbitral Award Is Silent: MP High Court

The Madhya Pradesh High Court has held that courts enforcing arbitration awards cannot add interest on capital expenditure by default when the arbitral award is silent and there is no delay in payment. It also ruled that courts enforcing arbitration awards cannot redo the electricity pricing formula used to calculate payments to power distributors once an arbitral award has become final.A Division Bench of Justice Vivek Rusia and Justice Pradeep Mittal said an executing court has a limited role....

Parties Must Exhaust Contractual Dispute Resolution Before Court Appoints Arbitrator: MP High Court

The Madhya Pradesh High Court has held that a court cannot appoint an arbitrator under Section 11 of the Arbitration and Conciliation Act, 1996 unless the party seeking such appointment has first exhausted the dispute resolution mechanism contractually agreed upon between the parties. A Bench of Justice Pavan Kumar Dwivedi dismissed three applications filed by former employees of Taskis India Private Limited, seeking appointment of an arbitrator, holding that the applicants were bound by the...

Appeal Against Commercial Court Judgment Lies Under Commercial Courts Act, Not CPC: MP High Court

The Madhya Pradesh High Court has said that a judgment delivered by a Commercial Court carries the force of a decree, and an appeal against it must be filed under the Commercial Courts Act rather than under the Civil Procedure Code. A division bench of Justice Vivek Rusia and Justice Pradeep Mittal held that such appeals must be filed under Section 13(1A) of the Commercial Courts Act, 2015, and registered as First Appeals before the Commercial Appellate Division of the High Court. “The...

Secured Creditors Must Act Speedily After SARFAESI Notice; Delay Defeats Law's Purpose: MP High Court

The Madhya Pradesh High Court has held that once a secured creditor initiates recovery proceedings under the SARFAESI Act, it must act without delay, failing which the very purpose of the law stands defeated. A division bench of Justice Vivek Rusia and Justice Pradeep Mittal, while dismissing a review petition filed by Cent Bank Home Finance Ltd, observed that lenders cannot remain inactive after issuing a demand notice under Section 13(2) of the SARFAESI Act. “After initiating the proceedings...

Income Declared Under VDIS Can Still Be Scrutinised If Higher Income Is Found: Madhya Pradesh High Court

The High Court of Madhya Pradesh at Jabalpur recently held that declaring income under the Voluntary Disclosure of Income Scheme, 1997 does not stop the income tax department from checking whether the correct income was disclosed, even though the scheme protects the assessee from being questioned about the source of that income. A Division Bench of Justice Vivek Rusia and Justice Pradeep Mittal said that VDIS gives only limited immunity. “The assessee is only protected from disclosing the...

Arbitral Tribunal Of Retired Railway Officers Invalid Without Express Waiver U/S 12(5) A&C Act: MP High Court

The Madhya Pradesh High Court bench of Justice Vivek Jain has terminated the mandate of an arbitral tribunal constituted by Railways holding that unilateral appointment of railway officers as arbitrators despite a clear refusal by the contractor to waive the appointment under section 12(5) of the Arbitration Act rendered the tribunal de jure ineligible. The petitioner, Continental Telepower Industries Limited, was awarded a contract by Indian Railways for supply of PVC insulated...

GST | Mismatch In E-Way Bill Destination Is Substantive Violation, Not Bonafide Error: Madhya Pradesh High Court

The Madhya Pradesh High Court, in a matter where Invoices and Consignment Note mentioned the correct destination address, but E-way Bill mentioned another address, has dismissed the writ petition. In a recent order, a Division Bench comprising Justice Vivek Rusia and Justice Pradeep Mittal emphasized on how during transportation of the goods 'no steps' were taken to correct the mistake in E-way Bill. This indicated mens rea, the High Court opined. It observed that mentioning of Indore...

MP High Court Dismisses Builder's Plea Seeking Refund Of Differential GST On Account Of Upward Rate Revision

The Madhya Pradesh High Court has dismissed writ petition by a builder seeking reimbursement or refund of differential 6% GST on account of increase in rate (from 12% to 18%) on government works contract w.e.f. July 18, 2022. Pursuant to the recommendation of the 47th GST Council Meeting which approved suggestions of the Group of Ministers on Rate Rationalization, increased GST rate (from 12% to 18%) on works contract was notified vide Notification No. 03/2022 Central Tax (rate) dated...

MP High Court Imposes ₹2 Lakh Cost On Tobacco Company For Stalling GST Proceedings

The Madhya Pradesh High Court has imposed ₹2 lakh costs on an Indore-based tobacco company for attempting to stall the proceedings initiated against it by the GST authorities.The company came came under the scanner of the Director General of GST Intelligence back in May 2020, following an investigation into large-scale tax evasion in the pan masala and tobacco industry in Indore.The probe allegedly uncovered a tax evasion racket exceeding ₹200 crore involving Elora Tobacco Company Limited, the...

White Petroleum Jelly Classified As 'Drug', Not Cosmetic; Higher VAT & Entry Tax Not Leviable: Madhya Pradesh High Court

The Madhya Pradesh High Court stated that White Petroleum Jelly is classified as a 'Drug', not 'Cosmetic', and therefore is not liable to higher VAT and Entry Tax. Justices Vivek Rusia and Jai Kumar Pillai stated that a White Petroleum Jelly of IP grade manufactured and sold by appellant under a valid drug licence is liable to be classified as a category of drug and medicine under Entry 19-A of Part II, Schedule II of the MP VAT Act. It was the case of the assessee/appellant that...

DM Can Re-Execute Possession Orders U/S 14 Of SARFAESI Act After Illegal Re-Entry By Borrower: MP High Court

A division bench of Madhya Pradesh High Court, comprising Justice Anand Pathak and Justice Hirdesh, has allowed an appeal and upheld that a district magistrate can re-execute possession orders u/s 14 of the SARFAESI Act after illegal re-entry by the borrower. The Court directed the respondent authorities to provide necessary assistance to the petitioner to dispossess the borrower from the mortgaged property. Background of the Case The petitioner granted a certain mortgage loan...