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2009 (12) TMI 258

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..... on filed. Held that- impugned order set aside. Appellate Tribunal’s order- order staying suspension of CHA licence passed on 12.10.2009. revenue seeking modification by filing application on 8.12.2009. Appellant contending that modification application filed only after letter written seeking implementation of stay order. Judicial discipline required Department to follow decision of Tribunal and implement it or file appeal before High Court. Application showing lack of application of mind by officers. - C/337/2009 - A/1/2010-WZB/AHD - Dated:- 23-12-2009 - Shri B.S.V. Murthy, Member (T) Shri P.M Dave, Advocate, for the Appellant. Shri Rajendra Nagar, SDR, for the Respondent. [Order].- The appellant is a CHA and C .....

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..... as per Regulation 22 of CHALR should have been followed. Therefore, both the decisions cited in the application are not relevant and subsequent discussions in this order would show that these decisions would not have really made any difference to the final order, which was passed on the stay application. At this juncture learned DR interrupted to say that one more decision of the Tribunal has been cited which I have omitted in the discussion. I find that this decision is related to Saini Consultants - 2008 (225) E.L.T. 296 (Fri-Del.). In this decision the Tribunal had followed the decision of Hon'ble Bombay High Court in the case of Raj Clearing Agency [2006 (199) E.L.T. 602 (Bom.)] arid the decision of Hon'ble Madras High Court in .....

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..... on filed itself has no relevance to the order. Further, learned advocate on behalf of the appellants has cited two decisions of the Hon'ble Supreme Court wherein Hon'ble Apex Court has held that where administrative action leads to a civil consequence to citizens, principles of natural justice is required to be observed. What this decisions mean is that while formal show cause notice may not be required and personal hearing is given etc. but opportunity is to be given to the concerned person to present his case before the order leading to civil consequences, is passed. I find that these decisions are applicable to the present case and there was no harm if the applicant was given a week's time to explain their case and there after suspension .....

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..... is no such finding by the Commissioner. In fact the order of the Commissioner records that the Director of the CHA firm had admitted that he did not know the party and had received the documents from one Shri Jaywant Thakar and Shri Prabhat Tarsaria. 6. Further, learned advocate submitted that appellant has been working as CHA for past sixteen years and this is the first time such an incident has occurred. As regards the mention of show cause notice issued to the appellants by the DRI, he submits that no details are given in the Order in Original as regards the charges leveled against CHA, He submits that appellants have several corporate clients and further, he also submits that CHA was willing to give an undertaking to the department .....

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..... e as set by the Hon'ble Supreme Court, a person against whom punitive or damaging action is taken by any authority in its quasi-judicial capacity must at least be given the minimal fairness of a post-decisional hearing. In the present case, admittedly, the Commissioner has not given even such a hearing after passing the impugned order suspending the appellant's CHA licence under Regulation 21(2). Therefore, we are inclined to hold that the impugned order of the Commissioner does not pass the test of the Rule of natural justice aid down by the Apex Court and, further, that the order was issued) in colorable exercise of power. We, therefore, direct the Commissioner of Customs to give personal hearing to the appellants and pass a speaking orde .....

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..... e action is necessary, suspend the licence of a Customs House Agent where an enquiry against such agent is pen4ing or contemplated". Even though more than four months are over no action appears to have been taken to order an enquiry as required under CHALR and neither there is any mention of contemplation of any enquiry. To sum-up, the impugned order suffers from lack of opportunity given to the appellants before passing the order or after passing the order giving post decision hearing to the appellant to present their case and also suffers from the fact that no enquiry was held or contemplated or no such mention in the order. Under these circumstances, I find that order cannot be sustained and accordingly, set aside the impugned order. I c .....

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