2017 (3) TMI 1493 - HC - Customs

Monetary limits for filing appeal - appeals filed by the department in the year 2012 having monitory limits of below 15 / 20 lakhs - Held that - appeal maintainable as within the monetary limits - once the appeals are disposed off in view of the above circumstances, based upon such circulars / instructions it shall not preclude such Commissioner of customs from filing any appeal, application, revision or reference in any other case involving the same or similar issues or questions of law - application allowed.

Issues Involved:
1. Disposal of appeals based on monetary limits set by the Board.
2. Interpretation of Section 131BA of The Customs Act, 1962.
3. Ministry of Finance resolutions on reducing litigation.
4. Applicability of circulars and instructions for disposal of appeals.
5. Effect of disposal on the Commissioner's right to file future appeals.

Issue 1: Disposal of appeals based on monetary limits set by the Board
The judgment involves the disposal of appeals by the Commissioner of Customs and Central Excise based on monetary limits set by the Board. The appeals were admitted in 2012, and the total revenue involved was below the prescribed monetary limit of ?20,00,000. The Board had revised the monetary limit for appeals to the High Court to ?20,00,000, and the amount involved in the present appeal was ?7,62,022. The applications were filed for the disposal of the appeals in accordance with the Board's instructions under Section 131(B) of the Customs Act, 1962.

Issue 2: Interpretation of Section 131BA of The Customs Act, 1962
Section 131BA of The Customs Act, 1962 was quoted, emphasizing sub-clauses (1), (2), and (3). The section empowers the Board to issue orders fixing monetary limits for regulating the filing of appeals by the Commissioner of Customs. It clarifies that not filing an appeal in one case does not preclude the Commissioner from filing in similar cases. The judgment considered the circumstances under which appeals were not filed based on the Board's instructions, and it highlighted the provision that the disposal of appeals should not prevent the Commissioner from filing future appeals on similar issues.

Issue 3: Ministry of Finance resolutions on reducing litigation
The Ministry of Finance issued resolutions on excise and customs, along with instructions and circulars, to support the reduction of litigation by setting monetary limits for filing appeals. These resolutions referred to the powers conferred by relevant acts such as the Central Excise Act, 1944, the Customs Act, 1962, and The Finance Act, 1994. The judgment acknowledged the clear intention of the Ministry to reduce litigation by setting monetary limits for appeals before various tribunals and courts.

Issue 4: Applicability of circulars and instructions for disposal of appeals
The judgment considered the circulars and instructions issued by the concerned department, which aimed to support the reduction of litigation by specifying monetary limits for filing appeals. These circulars were in line with the provisions of the Central Excise Act, 1944, the Customs Act, 1962, and The Finance Act, 1994. The disposal of appeals was based on these provisions and policies declared by the department, with the learned Counsel for the respondents raising no objections to such disposal.

Issue 5: Effect of disposal on the Commissioner's right to file future appeals
While disposing of the appeals based on the monetary limits and instructions provided by the Board and the Ministry of Finance, the judgment made it clear that such disposal should not prevent the Commissioner of Customs from filing future appeals, applications, revisions, or references in cases involving similar issues or questions of law. The judgment allowed the applications for disposal of the appeals and clarified that the disposal did not restrict the Commissioner's right to file appeals in the future.

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