2020 (4) TMI 47 - HC - Customs

Maintainability of appeal - monetary amount involved in the appeal - On the question of litigation policy, the learned counsel for the Revenue submitted that the Assessee cannot insist upon the Revenue to withdraw the Appeal - HELD THAT - No question of law, muchless a substantial question of law arises for our consideration in the present case in accordance with Section 130 of the Customs Act, requiring our further consideration. The learned Tribunal, despite the objection raised by the Assessee has considered the case in a detail and has found it fit to remit the matter back to the Adjudicating Authority for holding a fresh enquiry in the matter and then decide the case again - The learned Tribunal has powers to pass such orders on pending appeal before it, as it thinks fit and therefore, the power to remand the case back to the Adjudicating Authority is included within the amplitude of powers conferred upon the Tribunal by the Statute. Petition dismissed.

Summary

Issues:
1. Appeal under Section 130 of the Customs Act 1962 based on substantial questions of law.
2. Maintainability of the appeal filed by the Commissioner of Customs before the CESTAT.
3. Validity of remanding the case back to the Assessing Authority by the Tribunal.
4. Interpretation of the litigation policy and its implications on the appeal process.
5. Authority of the Tribunal to remand cases and the scope of its powers.

Analysis:
1. The case involved appeals by M/s. Do Best Infoway Space under Section 130 of the Customs Act 1962, challenging the order of the Customs, Excise and Service Tax Appellate Tribunal. The Tribunal remanded the case to the Assessing Authority for a fresh enquiry due to lack of a speaking order, prompting the Assessee to question the validity of this decision.

2. The Assessee argued that the appeal by the Commissioner of Customs was not maintainable as per the litigation policy due to low revenue stakes. However, the Respondent Department defended the Tribunal's decision, stating that a fresh enquiry was necessary, and the Tribunal had the authority to remand the case back to the Assessing Authority.

3. The High Court found that no substantial question of law arose for consideration under Section 130 of the Customs Act. Despite the Assessee's objection, the Tribunal's decision to remand the case was deemed appropriate, as it fell within the Tribunal's powers to pass orders "as it thinks fit."

4. Regarding the litigation policy, the Court clarified that the Assessee could not compel the Revenue to withdraw the appeal based on the policy. The decision to pursue or withdraw the appeal rested with the appellant, and the policy did not grant the opposite party the right to demand withdrawal.

5. Ultimately, the High Court upheld the Tribunal's order, stating that the Assessee's appeals lacked merit and were to be dismissed. The Court emphasized that the Tribunal had the authority to remand cases, and the Assessee's insistence on appeal withdrawal based on the litigation policy was unsubstantiated. Consequently, the appeals and connected miscellaneous appeals were dismissed without costs.