Case Details: DGAP vs. Dange Enterprise - [2025] 181 taxmann.com 491 (GSTAT-NEW DELHI)
Judiciary and Counsel Details
- Dr. Sanjaya Kumar Mishra, President
Facts of the Case
The Directorate General of Anti-Profiteering (DGAP) conducted an investigation and issued the first report to the New Delhi GST Appellate Authority. The report alleged that the respondent had profiteered an amount of Rs. 28,74,577, including GST on the base profiteered amount. The matter was remanded to the DGAP for further investigation. In the subsequent report, the DGAP quantified the profiteered amount to be Rs. 4,57,683. The respondent admitted the amount profiteered but disputed the liability to pay any penalty and interests thereon.
GSTAT Held
The Delhi GST Appellate Authority held that the enabling provision for interest under Rule 133(3)(c) was inserted in 2020 after the last date of the alleged profiteering. Thus, no interest was leviable for the period before the amendment. The relevant penal provision was introduced only in 2020. Therefore, no penalty could be imposed on the respondent. Further, the report submitted by the DGAP was accepted to the extent that the respondent profiteered an amount of Rs. 4,57,683 only from recipients who are faceless. The respondent was directed to deposit the profiteered amount in the Consumer Welfare Fund created by the Centre and States equally.
List of Cases Referred to
- DGAP v. Proctor and Gamble Group [2025] 178 taxmann.com 564 (GSTAT – NEW DELHI) (para 5).
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