2007 (9) TMI 16 - HC - Central Excise

Power to remand back Revenue raised the question whether Commissioner(Appeals) is still vested with the powers to remand back cases to the adjudicating authority consequent to the specific amendment Held that after amendment Commisssioner(Appeals) is not liable to remand back

Summary

Issues:
Interpretation of the powers of the Commissioner (Appeals) in remanding cases post-amendment by the Finance Act, 2001.

Analysis:
The High Court dealt with the issue of whether the Commissioner (Appeals) retains the power to remand cases after the specific amendment made by the Finance Act, 2001. The Court referred to a previous Division Bench judgment where it was held that once the power of remand was expressly taken away by the Finance Act, 2001, the Commissioner (Appeals) no longer had the authority to remand cases back to the Adjudicating Authority. The Court emphasized that the amendment clearly indicated the intention of the legislature to remove the power of remand from the Commissioner (Appeals). The judgment highlighted that the provisions before and after the amendment were identical, reinforcing the conclusion that the power of remand had been eliminated. The Court rejected arguments suggesting that the Commissioner (Appeals) could still exercise the power of remand post-amendment.

The Court also discussed the relevance of a judgment by the Gujarat High Court and a Supreme Court case cited in the arguments. It differentiated the circumstances of those cases from the present situation, emphasizing that the specific removal of the power of remand through amendment distinguished the current case. The Court concluded that the Commissioner (Appeals) no longer possessed the authority to remand cases and upheld the decision that the power had been effectively taken away by the Finance Act, 2001.

In the final judgment, the High Court allowed the appeals filed by the revenue, setting aside the orders passed by the Tribunal and the Commissioner (Appeals). The matters were remanded back to the Commissioner (Appeals) for decision in accordance with the law. The Court directed the Commissioner (Appeals) to decide on the appeals within a specified timeline, considering the pending nature of the case. The High Court disposed of the appeal with these directions, emphasizing the legislative intent behind the amendment and the consequent removal of the power of remand from the Commissioner (Appeals).