| Date: |
22-12-2015
|
| Notification No: |
CUSTOMS INSTRUCTION
|
| Issuing Authority: |
Indian Customs
|
| Type: |
Instruction
|
| File No: |
F. No. 390/CESTAT/69/2014-JC |
| Subject: |
Regarding Imposition of Cost by CESTAT on grounds of quality of adjudication order
|
Government of India
Ministry of Finance
Department of Revenue
Central Board of Excise & Customs
(Judicial Cell)
New Delhi, Dated the 22nd December, 2015
Instruction
To,
- All Principal Chief Commissioners / Chief Commissioners and Director General
under the Central Board of Excise and Customs
- Chief Commissioner (AR) / Additional Commissioner (AR) / Asstt.
Commissioner(AR), CESTAT
- All Principal Commissioners / Commissioners of Customs, Central Excise &
Service Tax / Directorate of Legal Affairs
- [email protected]
Sub: Imposition of cost by CESTAT on grounds of quality of adjudication order
During the recent past there have been certain decisions of the CESTAT wherein
cost was imposed either on department or on the adjudicating officer / appellate
officers. The cost so imposed was ordered to be paid to the assesse or to the
Registry of the Tribunal.
- On examination of such orders it is found that the cost has been imposed on
the officers / department for ignoring ; (i) the directions and principles laid
down made de novo order while Hon’ble Tribunal directing the original
adjudicating authority to re-examine the duty liability only , (ii) Principles
of natural justice , (iii) the pleadings and evidences on record before deciding
the matter or (iv) non-application of mind.
- There are already provisions for examination of all the order-in- original
passed by the Commissioners / Committee of Commissioners or the Committee of
Chief Commissioners. However, it has been experienced that only such orders
which are passed in favour of assesses are subjected to rigorous scrutiny and
whenever the reviewing authorities are of the considered view that orders were
not in conformity with the law, such orders are appealed against whereas the
orders passed in favour of Revenue are accepted without any critical examination
as to whether such orders are legal and proper. Therefore, there is a need to
examine critically the orders passed in favour of the Department also by the
same standards. Needless to mention that such orders are avoidable in case the
original adjudication orders / appellate orders are examined critically during
review by the competent authorities.
- In view of alarming increase in the number of such orders, all Principal
Chief Commissioners / Chief Commissioners should sensitize the adjudicating
authorities about the issue of imposition of costs by the Tribunals due to poor
quality of the adjudications. To address the issue, the Principal Chief
Commissioners / Chief Commissioners (under whose jurisdiction orders imposing
costs have been passed by the Tribunal) may kindly send a report after examining
such cases of the last two years regarding the feasibility for challenging
before the Hon’ble High Court / Supreme Court by way of Writ Petition or Special
Leave Petition. A one time report as above may be sent in a months time.
(Rohit Singhal)
Dy. Secretary (Review)
F. No. 390/CESTAT/69/2014-JC
|
|
|