2016 (10) TMI 140 - AT - Customs

License to import - non-existence of license at the time of clearance of goods - irrelevant considerations and extraneous circumstances by Commissioner (Appeals) and grant of relief - Held that - the appellate orders should not have irrelevant considerations and irrelevant remarks but should demonstrate the application of the legal mind to reduce the litigation and resolve the controversy. The decision in the case of Joint Commissioner of Income Tax, Surat Vs Saheli Leasing & Industries Ltd. 2010 (5) TMI 9 - SUPREME COURT OF INDIA relied upon. - matter remitted to the learned Commissioner (Appeals) to decide the controversy on the face of law and evidence without any unwarranted remarks and granting reasonable opportunity of hearing.

Summary

Issues:
1. Interpretation of the existence of a licence at the time of clearance.
2. Application of legal principles in appellate orders.
3. Compliance with guidelines for writing judicial orders.

Analysis:
1. The respondent claimed that they were granted a licence to import goods, which, according to them, absolved them of any wrongdoing. The revenue, however, contended that no licence was present during the clearance, and relief was granted to the respondent based on irrelevant considerations by the learned Commissioner (Appeals). The Tribunal emphasized the importance of focusing on the legal aspects and evidence to resolve disputes effectively.

2. The Tribunal highlighted the necessity for appellate orders to be devoid of irrelevant remarks and to reflect a clear application of legal reasoning. Quoting guidelines from a Supreme Court case, the Tribunal emphasized that judgments should be concise, coherent, and based on relevant legal principles and factual analysis. The Tribunal set aside the irrelevant remarks made by the appellate authority and instructed the Commissioner (Appeals) to reconsider the case based on law and evidence, without any unwarranted comments.

3. Citing the need for judgments to be reader-friendly and free from unnecessary details, the Tribunal directed the Commissioner (Appeals) to decide the matter promptly, within a month of receiving the order. Additionally, the Tribunal instructed the Revenue to provide the adjudicating authority and appellate authority with a copy of the licence produced by the respondent. The order aimed to ensure a fair and just resolution of the dispute in accordance with legal procedures and principles.