In Brief
Radha Krishan Industries, a lead manufacturer, challenged provisional attachment orders issued against its receivables by the Himachal Pradesh tax authorities. The High Court dismissed the writ petition, citing an available alternative remedy. The Supreme Court held that no effective alternative remedy existed because the attachment order was passed by a delegated authority, not subject to appeal. The Court emphasised that provisional attachment is a draconian power requiring strict compliance with statutory conditions: proceedings must be pending specifically against the taxable person (here, they weren't); the decision must rest on tangible material (none was shown); and mandatory procedural safeguards, including opportunity of hearing, must be afforded. The Court allowed the appeal, set aside the attachment orders as ultra vires, and held the writ petition was rightly maintainable.
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