2016 (4) TMI 1468 - HC - Customs

Suspension of Customs Broker License - failure on the part of the petitioners herein to respond to a notice issued under Regulation 20(1) of the said Regulations of 2013 - HELD THAT - Since it is evident that the petitioners have waited for more than ten months in seeking a stay of the operation of an order of continuance of suspension under Regulation 19(2) of the said Regulations of 2013, no order is called for except to expedite the process under Regulation 20 of the said Regulations. Petition is disposed of by permitting the petitioners a week from date to file the reply to the show-cause notice received, without prejudice to the petitioners rights in the pending appeal before CESTAT.

Summary

Issues involved: Order of suspension u/s Regulation 19(2) of Customs Brokers Licensing Regulations, 2013; Failure to respond to notice u/s Regulation 20(1) of the said Regulations; Delay in seeking stay of suspension order.

Order of Suspension: The petition pertains to an order of suspension confirmed under Regulation 19(2) of the Customs Brokers Licensing Regulations, 2013, with the initial order made on May 15, 2015, and the subsequent order on June 24, 2015. The petitioners had earlier carried a petition against show-cause notice and other notices but were directed to prefer an appeal under Regulation 21. The petitioners have appealed before the Customs, Excise and Service Tax Appellate Tribunal, but due to the absence of a judicial member, matters are pending. The current petition seeks a stay of suspension order, which is not granted due to the delay of more than ten months. The court directs the department to expedite proceedings under Regulation 20 without ordering costs.

Failure to Respond to Notice: The department complains of the petitioners' failure to respond to a notice issued u/s Regulation 20(1) of the said Regulations. The department alleges that the petitioners' lack of response has stalled the revocation process, which should have been completed within six months. Had the petitioners responded, an inquiry could have been initiated, potentially concluding the matter sooner. The court directs the petitioners to file a reply to the show-cause notice within a week, and the department must complete the revocation proceedings within three months of receiving the reply, with no adjournments granted.

Delay in Seeking Stay: The petitioners' delay in seeking a stay of the suspension order u/s Regulation 19(2) has led to the current situation. The court, recognizing the delay, does not grant the stay but instructs the department to expedite the revocation proceedings under Regulation 20. The petition is disposed of, allowing the petitioners to file a reply to the notice within a week, and the department must complete the proceedings within three months without granting adjournments.