EXAMPLE

Mr. D had made an application to authority for advance ruling on classification issue for which the ruling was pronounced by the authority. Later it came to the notice of authority that advance ruling was obtained by Applicant by furnishing wrong details of composition of good in question. The authority alleged that since the ruling pronounced was wrongly obtained by Mr. D, the same stands void. Whereas Mr D contends that the ruling pronounced was final and binding on the parties & thus cant be cancelled now.

 ANSWER

As per section 104 of the Act, where the Authority or the Appellate Authority finds that advance ruling pronounced by it has been obtained by the applicant or the appellant by fraud or suppression of material facts or misrepresentation of facts, it may, by order, declare such ruling to be void ab-initio and thereupon all the provisions of this Act or the rules made thereunder shall apply to the applicant or the appellant as if such advance ruling had never been made.

Since ruling was obtained by furnishing wrong details of good in question, the same stands void.