2012 (5) TMI 526 - AT - Central Excise

Maintainability of appeal - Jurisdiction to hear appeals - Held that - In view of the fact that both sides agree that all these appeals filed by the appellants before the lower appellate authority are required to be heard and decided by the Commissioner of Central Excise (Appeals) having territorial jurisdiction over the officers working in the SEZ under the jurisdiction of Commissioner of Central Excise, Chennai-IV, all these appeals are required to be remanded to him for hearing and disposal. Accordingly, we set aside the impugned orders and remand the appeals to the jurisdictional Commissioner of Central Excise (Appeals), Chennai for decision on merit after giving a reasonable opportunity of hearing to the appellants - Decided in favour of assessee.

Summary

Issues:
1. Jurisdiction of the Commissioner of Customs (Appeals) in Chennai.
2. Applicability of Notification No. 16/2002-Cus. (N.T.) and Notification No. 83/2004-Cus. (N.T.).
3. Correct forum for hearing appeals related to orders passed in the Special Economic Zone (SEZ).
4. Remand of appeals for hearing and disposal by the jurisdictional Commissioner of Central Excise (Appeals).

Detailed Analysis:
The judgment by the Appellate Tribunal CESTAT, Chennai, involved a dispute regarding the jurisdiction of the Commissioner of Customs (Appeals) in Chennai. The appeals filed by the appellants were dismissed by the Commissioner of Customs (Appeals) on the grounds that they should have been filed before the Commissioner of Central Excise (Appeals) with jurisdiction over the SEZ within the territorial jurisdiction of Commissioner of Central Excise, Chennai-IV. Both sides agreed that as per Notification No. 16/2002-Cus. (N.T.), the Commissioner of Customs (Appeals) in Chennai had jurisdiction over appeals against orders by subordinate officers. However, since the original orders were from officers in the SEZ under the jurisdiction of the Commissioner of Central Excise, Chennai-IV, the appeals should have been transferred to the Commissioner of Central Excise (Appeals) as per Notification No. 83/2004-Cus. (N.T.). The lower appellate authority failed to transfer the appeals, leading to the filing of 51 appeals before the Tribunal.

The Tribunal noted the agreement of both parties that the appeals needed to be heard and decided by the Commissioner of Central Excise (Appeals) with territorial jurisdiction over the SEZ officers. Consequently, the Tribunal set aside the impugned orders and remanded the appeals to the jurisdictional Commissioner of Central Excise (Appeals) in Chennai for a decision on merit after providing a reasonable opportunity of hearing to the appellants. Emphasizing the importance of expeditious resolution, the Tribunal directed the Commissioner (Appeals) to hear and decide the appeals preferably within one month from the receipt of the order. All 51 Early Hearing applications were allowed, and the 51 appeals were remanded for further proceedings before the appropriate authority.

In conclusion, the judgment clarified the correct forum for hearing appeals related to orders from the SEZ and highlighted the necessity of adherence to jurisdictional protocols as per relevant notifications. The decision ensured that the appeals were remanded to the appropriate authority for a fair and timely resolution, emphasizing procedural correctness and efficient adjudication in line with the legal framework governing customs and excise matters.