1996 (8) TMI 115 - HC - Customs

Summary

Issues:
1. Writ petition seeking mandamus to release confiscated goods.
2. Non-compliance with orders of the Customs, Excise, and Gold Appellate Tribunal.
3. Binding nature of appellate authority's orders on subordinate authorities.

Detailed Analysis:
1. The petitioner, an export-oriented unit, imported autocones but faced penalties and confiscation under the Customs Act due to alleged mis-declaration of goods' value. The Customs, Excise, and Gold Appellate Tribunal allowed the petitioner's appeals, setting aside penalties and confiscation. However, the goods were not released, leading to the writ petition for mandamus.
2. The petitioner argued that the Tribunal's order is binding on subordinate officials, citing judicial discipline principles. The respondents contended that as they filed an appeal to the Supreme Court, compliance with the Tribunal's order was not required. The petitioner highlighted that non-compliance could lead to undue harassment and chaos in tax laws administration.
3. The court, relying on the Supreme Court precedent, emphasized the binding nature of the Tribunal's order on subordinate authorities. It reiterated the importance of following higher appellate authorities' orders and noted that the subject matter of an appeal does not exempt compliance unless stayed by a competent court. As the petitioner filed a caveat with the Supreme Court and received no stay notice, the respondents were directed to implement the Tribunal's order within one week, allowing for necessary customs surety if the revenue's contention is accepted on appeal.