GSTAT Upholds Penalty for Defective E-Way Bills

Akash Sales Corporation resold scrap while it was in transit, relying on the legality of onward sales under Section 10(1)(b) of the IGST Act. GSTAT accepted that physical receipt by the intermediary was unnecessary but held that the movement documents had to reflect the actual journey. The first e-way bill retained the original Bhilai destination, while the second incorrectly showed dispatch from Bhilai and had expired before interception. The cumulative defects were substantive, and the penalty was upheld.