2014 (10) TMI 716 - AT - Customs

Suspension of the CHA licence - Regulation 20(3) of the Custom House Agents Licencing Regulations, 2004 - Held that - as the Hon ble High Court of Madras had already set aside the enquiry proceedings, the impugned orders of suspension of CHA Licence under the provisions of Regulation 20(3) of the CHALR, 2004, is set aside. The appeal filed by the appellant is allowed - Decided in favour of appellants.

Summary

Issues Involved:
Appeal against suspension of CHA license under Regulation 20(3) of Custom House Agents Licensing Regulations, 2004.

Detailed Analysis:
1. The appellant challenged the continuation of the suspension of their CHA license by the Commissioner of Customs (Imports) under Regulation 20(3) of the Custom House Agents Licensing Regulations, 2004.

2. The appellant contended that the revocation proceedings initiated by the department were challenged before the Hon'ble High Court of Madras, which set aside the revocation proceedings.

3. The Assistant Commissioner of Customs appointed the Deputy Commissioner of Customs as the Inquiry Officer under Regulation 22 of the Regulations, 2004. The appellant challenged this inquiry proceeding before the Hon'ble Madras High Court, which set aside the proceedings due to non-compliance with mandatory provisions.

4. The respondent argued that the appellant did not challenge the suspension orders promptly, and the petitioner failed to prove any violation or prejudice suffered due to the suspension. The respondent also claimed substantial compliance with the regulations and cited relevant judgments in support.

5. The Court found that the first respondent failed to issue a show cause notice within 90 days of receiving the offence report, as mandated by Regulation 22(1) of the Regulations. Due to this non-compliance, the Court set aside the impugned proceedings.

6. The Tribunal noted that the High Court had set aside the enquiry proceedings, leading to the conclusion that the suspension of the license could not be sustained. Citing a similar case, the Tribunal set aside the impugned order and allowed the appeal.

7. Considering the High Court's decision to set aside the enquiry proceedings, the Tribunal set aside the orders of suspension of the CHA license under Regulation 20(3) of the CHALR, 2004. The appeal was allowed, and the stay petition was disposed of accordingly.