2019 (8) TMI 1570 - AT - Service Tax

Legality and validity of Impugned Final Order - allegation that the order bears no signature of the Ld. Commissioner - It is the contention of appellant that the handwritten corrections made at various places should have been initialled at those respective places and the order should bear proper signature with date in the draft order - HELD THAT - The impugned order is non est in the eyes of law. Since the assessee cannot be left remediless, justice would be met if the impugned order is set aside and the matter is sent back to the original authority for passing a fresh order following the due process of law. The Ld. Supdt. (AR) appearing for the Revenue has no objection if the matter is remanded back for de novo adjudication. Appeal disposed off.

Summary

Issues:
Appeal against order confirming service tax demand, Validity of order due to lack of signature and date, Comparison of draft and fair copies, Compliance with statutory obligations, Remand for fresh order, Principles of natural justice.

Analysis:
The appeal before the Appellate Tribunal CESTAT Kolkata challenged the order passed by the Ld. Commissioner confirming a demand for service tax, along with interest and penalty. The appellant raised a crucial issue regarding the validity of the order, pointing out that the impugned order lacked the signature of the Ld. Commissioner. The appellant argued that without the signature, the document could not be considered a proper adjudication order. It was revealed that a certified copy of the draft order was provided to the assessee, but it did not contain the date of passing the order. Moreover, the draft order had handwritten corrections that were not legible, making it difficult to compare with the order copy communicated to the assessee.

The appellant's representative referred to a decision of the Delhi High Court emphasizing the statutory obligation of the adjudicating authority to sign the final order after making corrections to a draft order. The High Court ruled that only after the final order is signed can a certified copy be issued to the concerned party. Upon examining both the draft and fair copies of the order, the Tribunal concluded that the impugned order was legally invalid. To ensure justice and avoid leaving the assessee without a remedy, the Tribunal decided to set aside the impugned order and remand the matter back to the original authority for passing a fresh order in accordance with the due process of law.

The Tribunal's decision to remand the case for a fresh order was supported by the Revenue representative, who had no objection to the matter being sent back for de novo adjudication. It was explicitly stated that the assessee would be granted a fair opportunity to be heard, adhering to the principles of natural justice. Ultimately, the appeal was disposed of with the direction to pass a fresh order, ensuring the rights of the assessee were protected throughout the process.