2022 (3) TMI 1545 - HC - Customs

Validity of impugned supplementary SCN and addendum supplementary SCN - Challenge on the ground that the same is without jurisdiction and the law does not permit issuance of such supplementary show cause notice - HELD THAT - The respondent submits that this Court should not entertain the prayer at this stage and liberty should be given to the respondents to consider and dispose of the said objection/representation in accordance with law and considering such submission of the parties, it is deemed fit to direct Commissioner of Customs (Port)/ respondent concerned to consider and dispose of the aforesaid objection/representation against the impugned show cause notice and addendum thereto in accordance with law and by passing a reasoned and speaking order after giving opportunity of hearing to the petitioner or its authorised representative within six weeks from the date of communication of this order. Petitioner shall be also entitled to take all the points before the Authority concerned at the time of consideration of the aforesaid representation which he has taken in this writ petition. It is recorded that this Court has not gone into the merit of the aforesaid representation and respondent concerned while considering and disposing of the aforesaid objection/representation shall act strictly in accordance with law - petition disposed off.

Summary

Issues involved:
Challenge to supplementary show cause notice under Section 124 of the Customs Act on grounds of jurisdiction and legality.

Analysis:
The petitioner challenged the impugned supplementary show cause notice dated 18th May, 2017, and an addendum supplementary notice dated 22nd September, 2017, under Section 124 of the Customs Act, claiming it was without jurisdiction and not legally permissible. The court noted that the petitioner had filed objections on 14th May, 2018, against the impugned notices, which were still pending. The respondent's advocate argued against entertaining the prayer at that stage, requesting liberty for the respondents to consider and dispose of the objections in accordance with the law. Consequently, the court directed the Commissioner of Customs (Port)/respondent concerned to review and resolve the objections within six weeks from the date of the order, providing an opportunity for the petitioner or its authorized representative to be heard. The petitioner was allowed to present all points raised in the writ petition during the objection consideration.

The court explicitly stated that it had not assessed the merits of the objections raised by the petitioner. It mandated that the respondent must strictly adhere to the law while considering and resolving the objections. Until a decision was made on the objections filed on 14th May, 2018, the respondent was prohibited from proceeding with the ongoing proceedings related to the matter. The continuation of any further actions was contingent upon the final outcome of the order issued concerning the objections. The writ petition, numbered WPO 290 of 2018, was disposed of by the court with the mentioned observations and directions.