Observations contained in 39th Report of Public Accounts Committee presented to Lok Sabha on 17.12.2002 on “Non adjudication of demands and inordinate delay in recovery of confirmed demands - Central Excise - 718/34/2003

CIR NO.718/34/2003-CX, DT. 23/05/2003 Observations contained in 39th Report of Public Accounts Committee presented to Lok Sabha on 17.12.2002 on "Non adjudication of demands and inordinate delay in recovery of confirmed demands In the 39th report presented to Lok Sabha, the Public Accounts Committee has observed that the performance of recovery cells constituted in the Commissionerates is far from satisfactory and also noticed that a large number of cases are being referred to the District Collector for recovery of duty as land revenue despite the Amendment Act 1997 which empowers the Central Excise Officers to proceed with recovery of duty in accordance with Circular No. 365/81/97-CX dated 15.12.1997. It has also been recommended by the Committee that one time review of the cases referred to Recovery Cell in Commissionerates/Divisions and review of all the cases referred to District Authorities may be done by CCEs/Divisional AC/DC. For this purpose, DGICCE may prescribe a proforma in the MTR to all the Commissioners to report these cases with immediate effect so that the same are reviewed and monitored at the Board level. It was earlier desired by the Board that information as regards effort made by the Tax Recovery Cell (created in the Commissionerates) to realise the arrears of revenue should be furnished by the Commissioner as part of MTRs. However, these instructions are not being complied with and even the MTR compiled by the DGICCE does not indicate this vital information. Therefore, it is once again reiterated that all the Commissioners should furnish the requisite information in the MTR and compliance in this regard may please be monitored and ensured by DGICCE. Further, the Board also desires that the departmental officers should exercise the powers to ensure the expeditious recovery of confirmed demands of duty and make all out efforts to energise the recovery cells. Further where recovery cell has not yet been created, the same may be created urgently. [F. No. 296/2/2003-CX-9]