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2009 (12) TMI 378

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..... Court. Clearance from COD required in present case. - ST/198/2007 - ST/140/2009 - Dated:- 7-12-2009 - Justice R.M.S. Khandeparkar, President and Shri Rakesh Kumar, Member (T) Cross Objection No. ST/CO/127/2007 Shri B.L. Soni, DR, for the Appellant. None, for the Respondent. [Order per : Justice R.M.S. Khandeparkar, President (Oral)]. - The learned DR has placed on record copy of letter dated 9th of November 2009 by Joint Commissioner (Review) addressed to the Senior Departmental Representation of CESTAT and a copy of the letter dated 26th of October 2009 by STO (Review) addressed to Commissioner of Central Excise, Indore and submitted that the concerned Committee has found that the matter is related to the disp .....

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..... eld as under :- "A reading of these judgments would show that the Hon'ble Supreme Court wanted that before a matter between the Union of India and a Public Sector Undertaking was taken to a court of law, there should be an attempt at an in-house settlement of the controversy and only when the High Power Committee cleared the dispute to be take to a Court, the matter should be lodged in a Court. There is nothing in these judgments to indicate that it was intended that the aforesaid directions would apply even where the dispute is between the Union of India and a State or a Corporation or Company owned by a State Government. Therefore, the petitioner cannot be asked to seek clearance from the High Power Committee which does not seem to have .....

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..... before arriving at the above finding, the Apex Court had noted that : "In the instant case, CIDCO is a State entity and the appellant is a central entity. The desirability of having a committee to sort out differences between public sector undertakings, State Governments, different Government Departments have been highlighted by this Court in several cases." 7. Obviously, therefore, clearance is required even in a case where the dispute is between the Central Government and State entity. The decisions of the Hon'ble Allahabad High Court in U.P. State Cement Corporation Ltd. as well as of the Tribunal in Karnataka Land Army Corpn. Ltd. on the issue in question are not in consonance with the proposition of the law as laid down by the Apex .....

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