Introduction

This judgment deals with the provisional release of seized goods after initiation of confiscation proceedings under Section 130 of the CGST Act. The principal issue before the Kerala High Court was whether a taxpayer could seek provisional release of goods after confiscation proceedings had commenced and under which statutory provision such a request should be considered.

Without deciding the legal controversy, the Court directed the assessee to file a fresh application for provisional release and required the adjudicating authority to pass a reasoned order after considering the legal precedents relied upon by the assessee.