9911796707
TMI Blog1998 (10) TMI 236X X X X Extracts X X X X X X X X Extracts X X X X ..... ner in the impugned order suspended the CHA licence held by the appellants in terms of Regulation 21(2) of the CHA Licensing Regulations, 1984 on the ground that the CHA had permitted their licence to be operated by other persons for pecuniary gain, that they had failed to exercise proper control over their employees and that they had interfered with the investigations. The claims made before us are two fold. Firstly, it is argued that the order of the Commissioner suffers from denial of natural justice, in as much as, no notice was given to the CHA for explaining his position before the Commissioner. On merits, it is claimed that the allegation that certain documents were removed by the CHA was without basis. A claim has been made that it ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tor is concerned and also order for forfeiture of security on any of the following grounds:- (a) failure of the Custom House Agent to comply with any of the conditions of the bond executed by him under Regulation 11. (b) failure of the Custom House Agent to comply with any of the provisions of these Regulations, whether within the jurisdiction of the said Collector or anywhere else. (c) any misconduct on his part whether within the jurisdiction of the said Collector or anywhere else which in the opinion of the Collector renders him unfit to transact any business in the Customs station. (2) Notwithstanding anything contained in sub-regulation (1), the Commissioner may, in appropriate cases, where immediate action is necessary, suspen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re invested in an authority, the concept of the subjective satisfaction of the said authority go with it as an inbuilt provision. Though the decision of the Division Bench of the Calcutta High Court in Re : Jeena and Co. (supra) is attempted to be cited against this concept, reading of para 5 of the said judgment clearly shows that the said High Court have also approved and accepted the concept of subjective satisfaction of the concerned authority. What they have held is that such subjective satisfaction ought to be spelt out in the order. Significantly, they have not provided any guideline as to what extent it should be spelt out. The order contemplated under sub-regulation (2) of Regulation 21, being of an interim and interlocutory nature ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d under Regulation 23....." 7. In para 25, the High Court has described the powers as unguided and uncanalised. The Court proceeded to give relief to the petitioner on the ground that the impugned order did not justify by the extraordinary powers invoked by the Collector. The reading of the relevant paras of the High Court order does not support the conclusion that the concept of subjective satisfaction was approved fully by the Hon ble High Court. 8. The order reported in 1993 (68) E.L.T. 419 states that while exercising powers under Regulation 21(2), strict compliance with the principles of natural justice is not required. The order, however, does not give reasons for this decision. In this respect, we find that the judgment of the Su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is conferred under Regulation 21(2), the Collector was required to follow the provisions of Regulation 23(1) and in the absence of due notice being given, his order does not sustain and is to be set aside. Hence, we do the same and remit the proceedings back to the Commissioner for issue of appropriate notice and following of subsequent procedure for suspension of the licence. Since the Commissioner chose to exercise his extraordinary power, we assume that the case involves urgency. In order to ensure that the CHA does not adopt delaying methods, we ask Shri Mathew to undertake on behalf of his clients cooperation with the department and compliance with the time limit set by the Commissioner in the notice issued under Rule 23. 11. With t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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