Validity of anti-profiteering provisions questioned in HC

Petitioners in the Delhi High Court on Thursday argued against the issue of imposing interest on companies for delayed payment of profiteered amounts calculated by the national anti-profiteering authority (NAA) under the Goods and Services Tax (GST) regime. In a case relating to constitutional validity of anti-profiteering provisions, petitioners said the provision of interest is there in the rules under the Central GST Act, but it is not there in the legislation itself. Since interest is not provided for in the statute, it cannot be imposed, they argued. "...The moot point is whether interest is applicable in the absence of statutory provision," said Abhishek Rastogi, partner at Khaitan & Co, who was arguing petitions for real estate, food and beverages and FMCG sector.