2004 (9) TMI 480 - AT - Central Excise

Summary

Issues:
1. Timeliness of filing an appeal before the Commissioner (Appeals) under the Central Excise Act, 1944.

Analysis:
The judgment addresses the issue of timeliness in filing an appeal before the Commissioner (Appeals) under the Central Excise Act, 1944. The original authority had passed an order against the appellants confirming duty demands, which the party received on 13-6-2001. The appeal against this order was filed on 24-8-2001, within the condonable period of 30 days as prescribed under the proviso to Section 35 of the Act. However, the Commissioner (Appeals) did not condone the delay and rejected the appeal as time-barred, leading to the present appeal before the Appellate Tribunal CESTAT, CHENNAI.

The Appellate Tribunal, after hearing both sides, noted that the appellants had not applied for condonation of the delay before the lower appellate authority. The tribunal emphasized the necessity of such an application for the appellate authority to exercise its quasi-judicial function of condoning the delay. It was observed that the party was misled by the guidance in the original authority's order, which stated that the appeal must be filed within 3 months from the date of communication of the order, leading them to not file a formal application for condonation of delay. The tribunal found the party's misunderstanding to be genuine and, therefore, decided to condone the delay in filing the appeal with the Commissioner (Appeals).

Consequently, the Appellate Tribunal set aside the impugned order and directed the lower appellate authority to proceed with the assessee's appeal in accordance with the law and principles of natural justice. The appeal was allowed by way of remand, providing clarity on the requirement for formal application for condonation of delay and emphasizing the importance of adhering to statutory timelines while filing appeals under the Central Excise Act, 1944.