1995 (7) TMI 71 - HC - Customs

Summary

Issues:
Challenge to Show Cause Notice dated December 3, 1986 by Deputy Chief Controller of Imports and Exports under Import (Control) Order, 1955.

Analysis:
The petitioners imported Fatty Acids in 1984, and the goods were confiscated based on a Public Notice. The petitioners appealed to the Central Excise & Gold (Control) Appellate Tribunal, which ultimately set aside the confiscation order on November 26, 1986. The Central Board of Excise and Customs also accepted the Tribunal's decision. Despite this, on December 3, 1986, another Show Cause Notice was issued by the Deputy Chief Controller of Imports & Exports, calling for a reason why the petitioners should not be debarred from importing goods. The petitioners contended that the Deputy Controller had no authority to issue the notice since the Tribunal's decision had already established the importation as valid. The respondents argued that the earlier adjudication was based on a wrong interpretation of a Public Notice, which was later clarified by subsequent Supreme Court judgments. The High Court held that once a quasi-judicial authority had made a final decision in favor of the petitioners, it was not permissible for the Deputy Chief Controller to issue a contradictory show cause notice. The Court found merit in the petitioners' argument and quashed the impugned notice, emphasizing the importance of finality in legal proceedings to avoid conflicting decisions. The Writ Petition was allowed with no order as to costs.