2012 (12) TMI 849 - AT - Service Tax

Refund of duty - direction by Tribunal to return the excess amount recovered over and above the Service Tax amount within 30 days and report compliance - Held that - While passing the order dated 12.10.2012, it was committed by the A.R that notice under section 87 has been withdrawn and the direction of the Tribunal will be complied within one month. Two months have elapsed since then and no action has been taken by the concerned officer. This is wilful disobedience of the directions of this Tribunal. Accordingly, the Dy. Commissioner, Service Tax Division, Raigad Commissionerate is hereby directed to show cause as to why contempt proceedings shall not be initiated against him for non-compliance of the direction of this Tribunal vide order dated 12.10.2012 cited supra. This notice is returnable within 15 days from today.

Summary

Issues Involved:
1. Non-compliance with refund order by jurisdictional officer.
2. Delay in implementing tribunal's direction.
3. Contempt proceedings against the concerned officer.

Issue 1: Non-compliance with refund order by jurisdictional officer
The Appellate Tribunal had directed the jurisdictional Assistant/Deputy Commissioner to refund the excess amount recovered from the appellant within 30 days. However, despite the passage of two months, no action had been taken by the concerned officer. The Tribunal noted this as a wilful disobedience of its directions and directed the Dy. Commissioner, Service Tax Division, Raigad Commissionerate to show cause as to why contempt proceedings should not be initiated against him for non-compliance. The notice for this was to be returnable within 15 days.

Issue 2: Delay in implementing tribunal's direction
The delay in implementing the tribunal's direction was attributed to the fact that the concerned officer had not received a certified copy of the order. The officer submitted a letter stating that they had only received a photocopy of the order, which was under process for acceptance by the Commissioner of Central Excise, Raigad. As a result, the officer requested an additional four weeks' time to comply with the tribunal's order.

Issue 3: Contempt proceedings against the concerned officer
In response to the non-compliance with the tribunal's direction, the Tribunal decided to initiate contempt proceedings against the Dy. Commissioner, Service Tax Division, Raigad Commissionerate. The Tribunal directed the officer to show cause as to why contempt proceedings should not be initiated for failing to comply with the tribunal's order dated 12.10.2012. The notice for this was to be returned within 15 days.

In conclusion, the judgment highlighted the serious consequences of non-compliance with tribunal orders, emphasizing the need for timely and diligent adherence to directives issued by the judicial authorities.