The petitioner challenged penalty orders passed under Section 129 of the GST Act on account of an incorrect mention of delivery location in the e-way bill. The factual background showed that all statutory documents accompanied the goods and there was no discrepancy in quantity or value.
The Court held that penalty under Section 129 requires existence of mens rea or intent to evade tax. A mere clerical or human error in the e-way bill, without any intention to evade tax, does not justify levy of penalty. The impugned penalty orders were set aside.