2018 (6) TMI 598 - HC - Customs

Principles of Natural Justice - petitioner had asked for cross-examination of few witnesses which were not granted - Held that - The right of cross-examination, is one of the ingredients of the principles of natural justice and ought to be adhered to during an adjudication proceedings. In the facts of the present case, it does not appear that, the prosecution had offered the petitioner herein an opportunity to crossexamine the witnesses produce on their behalf - the impugned order stands vitiated by breach of principles of natural justice - petition allowed.

Summary

Issues: Challenge to order in original dated December 28, 2017 by Commissioner of Customs; Denial of cross-examination of witnesses; Breach of principles of natural justice.

Analysis:
The judgment delivered by the High Court of Calcutta pertains to a writ petition challenging an order passed by the Commissioner of Customs. The petitioner had requested cross-examination of witnesses, which was denied. The respondent argued that the witnesses' statements were taken under Section 108 of the Customs Act, and the petitioner was aware of this but did not request cross-examination.

The Court highlighted the process of investigation under the Customs Act, where witness statements are recorded under Section 108. Subsequently, a show cause notice is issued under Section 124, to be adjudicated upon by designated persons under Section 122. During adjudication, the prosecution can rely on evidence of natural persons and offer cross-examination to the accused. In this case, it was noted that the prosecution did not provide the petitioner with the opportunity to cross-examine the witnesses relied upon.

The Court found that the denial of cross-examination violated the principles of natural justice. Cross-examination is considered a fundamental aspect of natural justice and must be upheld during adjudication proceedings. Consequently, the impugned order was set aside, and the authorities were directed to proceed afresh from the adjudication stage. If the prosecution presents evidence from natural persons, the petitioner must be given the chance to cross-examine them in accordance with the law, with the petitioner having the option to accept or refuse this right.

Ultimately, the writ petition was disposed of with no order as to costs, emphasizing the importance of adhering to principles of natural justice, particularly the right to cross-examination, in adjudication proceedings under the Customs Act.