1989 (4) TMI 101 - HC - Central Excise

Summary

Issues:
1. Challenge to the order of the Customs, Excise & Gold (Control) Appellate Tribunal.
2. Allegation of lack of proper opportunity of hearing and cross-examination.
3. Communication gap leading to absence during the hearing.
4. Request for setting aside the Tribunal's order and re-hearing the application.

Analysis:

Issue 1:
The petitioners filed an appeal in the Customs, Excise & Gold (Control) Appellate Tribunal against the order passed by the Collector of Customs and Central Excise. The Tribunal rejected the petitioners' request to exempt them from depositing the duty amount but exempted them from depositing the penalty amount. The petitioners challenged this order.

Issue 2:
The petitioners argued that they were not given a proper opportunity of hearing and cross-examination before the Tribunal. They claimed that they had repeatedly requested cross-examination of the experts, which was not considered by the Tribunal. The High Court acknowledged the grievances raised by the petitioners and directed the Tribunal to re-hear the application to address these concerns.

Issue 3:
The petitioners contended that a communication gap between their Junagadh and Bombay offices led to their absence during the hearing on 5-10-1988. The High Court found merit in this argument, stating that it was justifiable for the order passed by the Tribunal to be set aside due to the communication gap. The High Court directed the Tribunal to inform the petitioners of the re-hearing date to avoid such issues in the future.

Issue 4:
In conclusion, the High Court allowed the petition, quashed the Tribunal's order of 5-10-1988, and directed a re-hearing of the application. The High Court also instructed the respondents not to resort to coercive methods for recovery until the re-hearing is completed. This decision aimed to rectify the communication gap issue and ensure a fair opportunity for the petitioners in the proceedings.