1987 (7) TMI 305 - AT - Central Excise

Summary

Issues:
1. Application for stay of proceedings against the petitioner.
2. Appeal against the order of the Collector of Central Excise regarding the Show Cause Notice for alleged clandestine removal of branded beedies.

Analysis:
1. The application sought a stay of proceedings against the petitioner before the Collector of Central Excise, Cochin, in response to a Show Cause Notice dated 16-4-1986. The petitioner challenged the jurisdiction of the adjudicating authority, which was decided against the petitioner by the High Court. The appeal before the Tribunal focused on the question of limitation under the Central Excises and Salt Act, 1944. The Tribunal dismissed the application for stay and proceeded to hear the appeal, ultimately dismissing it as well.

2. The appeal was against the Collector's order rejecting the appellant's contention that the Show Cause Notice dated 16-4-1986 was legally untenable. The appellant argued that the proviso to Section 11A of the Act, allowing an extended period of limitation in cases of suppression, should apply prospectively from the enactment date. The Tribunal considered the validity of the Show Cause Notice and the competence of the adjudicating authority. It was determined that the Department could invoke the extended period of limitation under Section 11A for clandestine removal of excisable goods, such as branded beedies. The Tribunal emphasized that the provision should not be limited to prospective application only, as that would create an impractical scenario. The appeal was dismissed, allowing the adjudication to proceed promptly, with the limitation issue being the sole focus of the Tribunal's decision. The appellant retained the right to raise other legal arguments before the adjudicating authority.