2017 (7) TMI 764 - HC - Service Tax

Natural justice - the Tribunal proceeded to pass the aforementioned order since, there was no appearance on behalf of the appellant although opportunity was granted in that behalf - appellant s contention is that they must be given opportunity of being heard - Held that - since, the appellant says that the proceedings of the Tribunal are not correctly reflected in the impugned order, the only remedy available to the appellant would be to approach the Tribunal by way of an appropriate application to rectify the record - appeal dismissed - decided against appellant.

Summary

Issues:
1. Appeal against the Judgment and Order of the Customs, Excise and Service Tax Appellate Tribunal.
2. Allegation of non-appearance by the appellant during the Tribunal proceedings.
3. Request for adjournment by the appellant's standing counsel.
4. Violation of principles of natural justice due to the Tribunal's failure to adjourn the matter.
5. Discrepancy in the recording of proceedings in the impugned order.
6. Remedy available to the appellant to rectify the record through an appropriate application.

Analysis:
1. The appellant filed an appeal against the Judgment and Order of the Customs, Excise and Service Tax Appellate Tribunal, which was disposed of via a brief order citing the appellant's failure to appear despite notice. The Tribunal noted the appellant's collection of service tax without depositing it into the Treasury, leading to the dismissal of the appeal due to lack of explanation for the default.

2. The appellant contested the Tribunal's assertion of non-appearance, claiming that a request for adjournment was made by the standing counsel to allow the main counsel to attend the proceedings on a different date. This discrepancy in the recording of events during the hearing raised concerns regarding the due process followed by the Tribunal.

3. The appellant argued that the Tribunal should have granted an adjournment and scheduled another hearing date to ensure a fair opportunity to present the case. The failure to do so was alleged to be a violation of principles of natural justice, impacting the appellant's ability to defend against the allegations of non-depositing service tax.

4. The High Court rejected the appellant's submission regarding the violation of natural justice, emphasizing the need for accurate reflection of proceedings in the record. The Court directed the appellant to seek redressal by approaching the Tribunal with an appropriate application to rectify the inaccuracies in the order, providing an opportunity to address the discrepancies in accordance with the law.

5. Consequently, the High Court disposed of the appeal by granting the appellant the chance to rectify the record through the prescribed legal process. The Court closed the pending application associated with the case, without imposing any costs on either party involved in the appeal proceedings.