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TMI Blog2013 (4) TMI 294X X X X Extracts X X X X X X X X Extracts X X X X ..... judication has been done after quantifying the amount due and payable by the assessee. Under the circumstances, I hold that the impugned order freezing the Bank accounts is not sustainable in the eye of law as this has been passed without having any jurisdiction. The same is accordingly set aside. Taking totality of the fact of the case, I pass following order. I also make it clear in the event, no reply is submitted within the above time, appropriate authority may pass appropriate order in accordance with law after quantification of the amount due and payable. Of course, it would be open for the respondent authority, if so advised, to issue orders strictly in terms of Section 87 Clause (b) of the Finance Act 1994 for recovering the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... petitioner wrote a letter on 04.01.2013 requesting the Commissioner, Custom and Central Excise, Meerut, Uttar Pradesh to supply the documents on which the show cause notice was relied. On 18.01.2013, the respondent supplied all the documents relied on. Thereafter on 11.02.2013, the reply was submitted and the same was not decided as yet. Without deciding the matter finally and without calling for any hearing, the respondent authority issued impugned order invoking power under Section 87 clause (b) of the Finance Act, 1994. By this notice, all the Bank accounts of the petitioner have been freezed, so much so, the petitioner cannot withdraw any amount from the Bank. In this writ petition only contention is that whether the aforesaid impugn ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se notice issued is legally valid on the facts and circumstances of this case. Admittedly the adjudication has not been completed and I find substance of the submission of the learned counsel for the petitioner that the amount mentioned in the show cause notice is merely a demand and not even the tentative adjudication. Section 87 (b) of the Finance Act, 1994 reads as under:- 87. Where any amount payable by a person to the credit of the Central Government under any of the provisions of this Chapter or of the rules made thereunder is not paid, the Central Excise Officer shall proceed to recover the amount by one or more of the modes mentioned below:- (a) . (b) (i) the Central Excise Officer may, by notice in writing, require a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the methods of recovery of the amount due and payable after adjudication is done. Moreover, I find from the language of clause (b), there is no power to freeze the Bank accounts. At the most, if it is applied, the money can be claimed from the Bank itself. Such claim can be made only when the final adjudication has been done after quantifying the amount due and payable by the assessee. Under the circumstances, I hold that the impugned order freezing the Bank accounts is not sustainable in the eye of law as this has been passed without having any jurisdiction. The same is accordingly set aside. Taking totality of the fact of the case, I pass following order. The petitioner must submit reply within fifteen days from the date of rece ..... X X X X Extracts X X X X X X X X Extracts X X X X
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