2004 (6) TMI 532 - AT - Central Excise

Summary

Issues:
1. Review of a Commissioner's order under Sec. 35E of the Act.
2. Computation of the one-year review period.
3. Applicability of case law to determine review date.

Issue 1: Review of Commissioner's Order
The Appellate Tribunal noted that the Revenue filed a ROM against Final Order No. 970/03, dated 24-7-2003, issued by the Commissioner. The Tribunal observed that the Member of the Board reviewed and signed the Commissioner's Order on 7-12-98, which was more than a year after the original order dated 29-10-97. Citing Sec. 35E of the Act, the Tribunal held that the review was not passed within the stipulated time and consequently rejected the appeal. The Tribunal referenced the Apex Court judgment in the case of CCE v. M.M. Rubber Company [1991 (55) E.L.T. 284 (S.C.)] to support its decision.

Issue 2: Computation of the One-Year Review Period
The Learned SDR contended that as per the judgment in GTC Industries Ltd. v. CCE [2002 (144) E.L.T. 632], the one-year period for review should be calculated from the date of the review order, not from the date of communication. However, the Tribunal rejected this argument, emphasizing that the crucial date for review is when the Member of the Board applies their mind to the review order. In this case, the review date was determined to be 7-12-98, exceeding the one-year period from the original Commissioner's order.

Issue 3: Applicability of Case Law
The Counsel for the Respondent distinguished the judgment cited by the SDR and argued that the review date holds significance in this context. The Tribunal concurred, stating that the date on which the Member of the Board considered and deliberated on the review order is pivotal. By aligning with the decision in the M.M. Rubber Company case, the Tribunal found no error in its judgment and dismissed the ROM application. It was concluded that the Tribunal's decision was consistent with legal precedents and no merit was found in the Revenue's application.

In conclusion, the Appellate Tribunal, in this case, upheld the importance of adhering to the statutory timeline for review of Commissioner's orders under Sec. 35E of the Act. The computation of the one-year review period was clarified, emphasizing the significance of the date when the reviewing authority applies their mind to the matter. The judgment highlighted the relevance of legal precedents in determining review dates and affirmed the Tribunal's decision to reject the ROM application based on the established principles and timelines set forth in the law.