2016 (7) TMI 486 - AT - Customs

Power of Commissioner (Appeals) to remand the matter back to the Original Adjudicating Authority. - Refund - Held that - Commissioner (Appeals) has power to remand the matter back to the Original Authority with direction for de-novo adjudication. We dismiss the appeal filed by Revenue. We direct the Original Adjudicating Authority to follow the direction given in impugned order and dispose of the mater, within 60 days of receipt of this order. - Decided against the revenue.

Summary

Issues:
- Appeal against Order-in-Appeal No. 300/CUS/APPL/Noida/2010
- Refund claim under Notification No. 102/2007-Cus
- Power of Commissioner (Appeals) to remand the matter back to Original Adjudicating Authority

Analysis:
1. The appeal was filed by the Revenue against the Order-in-Appeal No. 300/CUS/APPL/Noida/2010, where the Respondent had filed a refund claim under Notification No. 102/2007-Cus. The Original Authority allowed a partial refund and rejected a portion of the claim. The Commissioner (Appeals) remanded the matter back to the Original Adjudicating Authority for de-novo adjudication based on a ruling by the Hon'ble Supreme Court.

2. The Revenue contended that the Commissioner (Appeals) erred in relying on the Supreme Court ruling as it was for a period before the amendment in Section 128A of the Customs Act, 1962, which took away the power to remand from the Commissioner (Appeals). The Revenue cited a different Supreme Court ruling and argued that the Commissioner (Appeals) does not have the authority to remand the matter. The Revenue requested the setting aside of the impugned order.

3. During the hearing, the Departmental Representative reiterated the Revenue's submissions, while the Advocate for the Respondent presented a Precedent Order of a Division Bench of the Tribunal to support the Commissioner (Appeals)'s power to remand the matter. After considering the arguments, the Tribunal held that the Commissioner (Appeals) indeed has the authority to remand the matter back to the Original Adjudicating Authority for de-novo adjudication. The Tribunal dismissed the appeal filed by the Revenue and directed the Original Adjudicating Authority to follow the directions given in the impugned order and dispose of the matter within 60 days of receiving the Tribunal's order.