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GST - Binding nature of Advance Rulings, Pre-condition for invoking Section 74 of the CGST Act, 2017 - Petitioner obtained an Advance Ruling classifying its product "Keer Kokil" as "unmanufactured tobacco" under CTH 2401 2090-"others", attracting 28% GST and 71% Compensation Cess. After the Advance Ruling attained finality, the Dept issued notices proposing a demand of GST and Excise Duty, alleging that the petitioner had misclassified the product by misrepresenting and suppressing material facts - Whether, in the absence of any material establishing fraud, willful misstatement or suppression of facts, the respondents could have assumed jurisdiction under Section 74 of the CGST Act and issue the impugned show cause notices, notwithstanding the binding Advance Ruling – HELD - The binding nature of Advance Ruling on both the applicant and the jurisdictional authorities reflects the legislative intent to ensure consistency and finality in tax administration. Any attempt to reopen issues already settled, in the absence of any change in law or facts, would defeat the object of the scheme. Therefore, unless the conditions under Section 104 are satisfied or there is a change in facts or law, the binding effect of the Advance Ruling cannot be disregarded - The issuance of the impugned SCNs reflects an attempt to reopen issues which have already attained finality. The existence of fraud, willful misstatement or suppression of facts is a jurisdictional pre-condition for invoking Section 74 of the Act, which was not satisfied in the present case - The allegations of fraud, misrepresentation and suppression of facts were specifically examined and rejected by the Authority for Advance Ruling, and such findings have attained finality. In the absence of any fresh material or change in facts, the respondents cannot be permitted to re-agitate the same allegations. The principles of judicial discipline require that the orders of higher appellate authorities must be followed unreservedly by subordinate authorities, and that a subordinate authority is bound by the findings of a higher or competent authority, unless such findings are set aside in accordance with law - The impugned SCNs issued under Section 74 of the CGST Act and Section 11A of the CEA, 1944 are quashed and set aside as being without jurisdiction – The writ petition is allowed
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