2021 (3) TMI 967 - HC - Customs

Maintainability of petition - petition has been dismissed on the ground that there is absolutely no trigger for the writ petitioner to approach this Court and there is no cause of action for filing the writ petition - recovery of drawback amount - HELD THAT - The reply along with enclosures said to have been given, have been received in the office of the respondent on 23.08.2010, as could be seen from the date seal. The appellant did nothing thereafter and in the year 2020, filed the writ petition. As observed by us earlier, the learned Writ Court was fully satisfied in one way or the other that there was no cause of action to file a Writ of Certiorari to quash the show cause notice especially when the appellant submitted to jurisdiction of the respondent and said to have fulfilled what was called for from them in the show cause notice. Since the matter is now pending before the respondent, we do not propose to make any observation or render any finding with regard to the compliance said to have been done by the appellant as it is for the respondent to proceed in accordance with law. While confirming the finding rendered by the learned Single Bench, the writ appeal stands disposed of with a direction to the respondent to pass orders on merits and in accordance with law, taking note of the reply submitted by the appellant dated 23.08.2010 - Appeal disposed off.

Summary

Issues:
Challenge to order in W.P.No.557 of 2021 for a Writ of Certiorari to quash Show Cause Notice dated 10.08.2010.

Analysis:
The writ appeal was filed to challenge an order dismissing a writ petition seeking to quash a Show Cause Notice dated 10.08.2010. The respondent had issued the notice under Rule 16A of the Customs Excise Duties and Service Tax Drawback Rules, 1995, regarding non-realization of sale proceeds for exported goods within the time limit under FEMA 1999. The appellant was directed to show cause within 30 days as to why the amount should not be recovered. The appellant responded with evidence of export realization, but the case was set ex-parte due to lack of further action. The writ court found no cause of action for the writ petition, as the appellant had submitted to the respondent's jurisdiction and fulfilled the requirements of the show cause notice.

Another notice was issued by the Assistant Commissioner of Customs, Tuticorin, which was challenged in a separate writ petition. Subsequently, the Assistant Commissioner held that the appellant had fulfilled post-export liabilities, dropped all adjudication proceedings, and did not impose penalties. The appellant argued that this case was similar, citing bank certificates and export realization. The court refrained from making observations on compliance, leaving it to the respondent to proceed in accordance with the law.

The court directed the respondent to finalize proceedings within two weeks and cooperate with the appellant. The writ appeal was disposed of, confirming the single bench's finding, with a direction for the respondent to pass orders on merits and in accordance with the law, considering the appellant's reply dated 23.08.2010. The respondent was instructed to issue a notice for further clarification if needed, provide a personal hearing to the appellant's representative, and conclude the proceedings within three weeks, emphasizing the appellant's cooperation. No costs were awarded in this matter.