2018 (1) TMI 1283 - HC - Customs

Stay of recovery of redemption fine - maintainability of petition - Held that - We do not think that we should engage ourself in such a controversy for now there is a pronouncement of a Division Bench of this court that the miscellaneous application filed by the petitioner before the tribunal could not have been dismissed on the ground of maintainability - the miscellaneous application restored to the tribunal s file for being decided afresh and in accordance with law - petition disposed off.

Summary

Issues: Challenge to tribunal's order on staying redemption fine imposition and maintainability of miscellaneous application.

Challenge to Tribunal's Order on Staying Redemption Fine Imposition:
The petitioner filed a miscellaneous application seeking a stay on the recovery of a redemption fine of ?8 crores imposed by an order-in-original. The tribunal held that there was no provision in the statute for staying the redemption fine. The petitioner challenged the tribunal's order, expressing apprehension about coercive recovery methods. The High Court noted a Division Bench's pronouncement that the tribunal erred in dismissing the petitioner's application on maintainability grounds. Referring to a specific case, the court quashed the tribunal's order, restoring the application for fresh consideration without dismissing it on the ground of maintainability. The court kept all contentions open regarding the merits of the application.

Maintainability of Miscellaneous Application:
The High Court observed that a Division Bench decision favored the petitioner and deemed the tribunal's dismissal of the application on maintainability grounds incorrect. Consequently, the court set aside the tribunal's order and directed a fresh consideration of the miscellaneous application without any maintainability issues. The court emphasized that all arguments from both parties concerning the application's merits remain open for consideration. The writ petition was disposed of accordingly, with no costs imposed.

This judgment from the Bombay High Court addresses the challenge to a tribunal's decision on staying the redemption fine imposition and the maintainability of a miscellaneous application. The court found that the tribunal erred in dismissing the petitioner's application on maintainability grounds and, based on a Division Bench decision, quashed the tribunal's order. The court directed a fresh consideration of the application without any maintainability issues, keeping all contentions open regarding the application's merits.