2022 (4) TMI 789 - HC - Customs

Violation of principles of natural justice - ex-parte order - appellants were not aware about the date of hearing - HELD THAT - It is indisputable that on 24.3.2021 situation prevailing in the Country, particularly in Mumbai and State of Maharashtra, was unprecedented and many had to undergo lot of hardship - an opportunity is granted to appellants to present its case on merits before the Tribunal for which we have to set aside the impugned order dated 24.3.2021. The matter is remanded for de novo consideration to Customs, Excise and Service Tax Appellate Tribunal, WRB, Mumbai. Tribunal is requested to endeavor to dispose off the appeals at the earliest and preferably within 12 weeks from today - appeal allowed by way of remand.

Summary

Issues:
Impugned order passed ex-parte due to lack of awareness about the date of hearing during the Covid-19 lockdown.

Analysis:
The High Court considered the appeal where the appellants challenged an order dated 24.3.2021, citing it was passed ex-parte as they were unaware of the hearing date, especially during the challenging times of the Covid-19 pandemic. The Court acknowledged the unprecedented situation prevalent in the country, particularly in Mumbai and Maharashtra, during March 2021, where significant hardship was faced by the general public. The Court noted that both the Apex Court and the Bombay High Court had been extending time limits due to the circumstances. Consequently, the Court decided to grant an opportunity to the appellants to present their case on merits before the Tribunal, leading to the setting aside of the impugned order dated 24.3.2021.

The respondent's limited affidavit was considered, and the Court heard the Counsel before making its decision. Despite strong opposition from the respondent's side, the Court emphasized the need to acknowledge the hardships faced by the public during the mentioned period. As a result, the Court quashed and set aside the impugned order dated 24.3.2021, remanding the matter for de novo consideration to the Customs, Excise, and Service Tax Appellate Tribunal in Mumbai. The Tribunal was urged to dispose of the appeals promptly, preferably within 12 weeks from the date of the High Court's decision.

It was clarified by the Court that no observations were made on the merits of the matter. The appellants were directed to attend the appeal on the date fixed by the Tribunal, as notified on the Tribunal's website or through other means of communication. Subsequently, the appeals were disposed of, and any interim applications were also disposed of accordingly.