Karnataka HC Halts Coercive Recovery of ₹9.5 Crore GST from Nexus Shantiniketan Retail; Advises Appellate Remedy [Read Order]

The Karnataka High Court recently granted relief to Nexus Shantiniketan Retail Pvt. Ltd. (Nexus), restraining the Revenue from initiating coercive recovery steps in connection with a ₹9.5 crore Goods and Services Tax (GST) demand, while advising the petitioner to avail the appellate remedy available under law.

The decision was rendered by the High Court while hearing a writ petition filed by Nexus, a private company operating the Nexus Shantiniketan Mall in Whitefield, Bengaluru, challenging the legality of a notice issued under Form GST DRC-13 for the recovery of the said amount.

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Nexus, appearing through Bharat Bhagwan Raichandani sought to impugned the notice dated 27.03.2025 issued by the Assistant Commissioner of Central Tax, Bengaluru East Commissionerate, which directed the 6th Respondent ICICI Bank to release ₹9,51,79,611 as provisional attachment under Section 83(1) of the CGST Act.

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Nexus further sought directions to be passed against the The Assistant Commissioner Of Central Tax to release ₹56.44 lakhs which had allegedly been obtained under force and threat, in addition to other consequential reliefs.

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Meanwhile, the Respondents were represented by Madanan Pillai, Jeevan J. Neeralgi and Francis Xavier.

It was the case of the petitioner, that the impugned Order-In-Original had not been furnished to them and that the same had only been served through email after the institution of the present case, thereby

Justice S. R. Krishna disposed of the petition with liberty to the petitioner to file an appropriate appeal before the appellate authority within a period of six weeks.

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Furthermore, the Karnataka High Court observed that it was necessary to allow the petitioner to pursue the statutory appellate remedy to attain the ends of justice and maintained the interim protection against coercive recovery measures for a period of six weeks from the date of judgment.

To Read the full text of the Order CLICK HERE

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