2018 (8) TMI 94 - HC - Central Excise

Principles of Natural Justice - petitioner argued that it is deprived of an opportunity of defending the show cause notice in the absence of the copies of the documents relied upon by the Department/Revenue being not supplied - Held that - With great difficulties and obstacles parties get an opportunity to argue old appeals and the Tribunal therefore should not pass any orders which would delay the proceedings further. Public interest suffers adversely if any tentative and prima faice view is expressed, like in the present manner, and it delays the final hearing of the appeal and thereafter the passing of the orders. The available material should have been taken into account to dispose of the appeal. Tribunal directed to pass final order in the appeal by reserving the right of both sides to raise appropriate contentions with regard to the interim directions and in the event they are aggrieved and dissatisfied with the final orders in the appeal. Petition disposed off.

Summary

Issues:
Challenge to two orders passed by the Customs Excise and Service Tax Appellate Tribunal, West Zonal Bench, Mumbai.

Analysis:
The petitioners challenged two orders passed by the Tribunal which are under scrutiny. The first order, referred to as Exhibit-A, pertained to the supply of documents for defending a show cause notice. The petitioners claimed deprivation of the opportunity to defend their case due to the absence of relevant documents. However, the Revenue contended that all necessary documents had already been provided. The Tribunal issued specific directions regarding the evidence from bank accounts and statements extracted from the books of account. Additionally, the Tribunal requested the Revenue to produce copies of statements recorded from various entities for examination. The Tribunal further instructed the appellant to facilitate the examination of cashbook entries and bank deposits by submitting the required records to the Adjudicating Commissioner by a specified date. Moreover, the Tribunal directed the Revenue to produce a file containing loose papers for examination.

The second order, Exhibit-B, highlighted the appellant's failure to comply with the Tribunal's directive to submit records for examination, resulting in an obstruction to the justice process. Consequently, a notice was issued to the appellant to show cause for non-compliance and explain the reasons for the delay. The Tribunal emphasized the importance of adhering to its orders to prevent delays in the legal proceedings. Following a detailed hearing, the High Court directed the Tribunal to promptly issue a final order on the appeal, allowing both parties to raise contentions on interim directions and merits if dissatisfied. The High Court instructed the Tribunal to reserve the right for parties to challenge the final orders and emphasized the need for cooperation to avoid obstruction to justice. The High Court directed the Tribunal to keep the latter order (Exhibit-B) in abeyance until the final decision on the appeal, ensuring a fair and efficient resolution of the case.

This comprehensive analysis of the judgment provides a detailed overview of the issues raised, the Tribunal's orders, the parties' contentions, and the High Court's directives, ensuring a thorough understanding of the legal proceedings and the subsequent rulings.