9911796707
TMI Blog2013 (9) TMI 783X X X X Extracts X X X X X X X X Extracts X X X X ..... he licence to the effect that the petitioner can transact business under Regulation 9(2) in the jurisdiction of Delhi Commissionerate. Thereafter, licence and card would be returned to the petitioner. 3. The petitioner has challenged the said order on two grounds. Firstly, no hearing or show cause notice was granted/issued to the petitioner and there has been violation of principles of natural justice. Secondly, it is submitted that order of prohibition under Regulation 21 can be only in respect of one or more sections of the Customs House and not the entire Commissionerate. The contention of the respondents, on the other hand, is that Regulation 21 is an independent regulation and the procedure prescribed in Regulation 22 is not applicable to Regulation 21. Regulation 22 is applicable only when proceedings are initiated for suspension and revocation of licence and not when an order of prohibition is passed in Regulation 21. 4. Regulations 20, 21 and 22 of the 2004 Regulations read as under:- "20. Suspension or revocation of licence.- (1) The Commissioner of Customs may, subject to the provisions of Regulation 22, revoke the licence of a Customs House Agent and order for forfeit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... toms or Assistant Commissioner of Customs shall, in the course of inquiry, consider such documentary evidence and take such oral evidence as may be relevant or material to the inquiry in regard to the grounds forming the basis of the proceedings, and he may also put any question to any person tendering evidence for or against the Customs House Agent, for the purpose of ascertaining the correct position. (4) The Customs House Agent shall be entitled to cross-examine the persons examined in support of the grounds forming the basis of the proceedings, and where the Deputy Commissioner of Customs or Assistant Commissioner of Customs declines to examine any person on the grounds that his evidence is not relevant or material, he shall record his reasons in writing for so doing. (5) At the conclusion of the inquiry, the Deputy Commissioner of Customs or Assistant Commissioner of Customs shall prepare a report of the inquiry recording his findings. (6) The Commissioner of Customs shall furnish to the Customs House Agent a copy of the report of the Deputy Commissioner of Customs or Assistant Commissioner of Customs, and shall require the Customs House Agent to submit, within the specifie ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ations 21 and 20(2) becomes relevant because a Division Bench of the Delhi High Court in International Cargo Services versus Union of India, 2006 (193) ELT 546 (Delhi) has held:- "7. The principles of natural justice have twin ingredients. Firstly, the person likely to be adversely effected by the action of the authorities should be given notice to show cause or granted reasonable opportunity of being heard in consonance with the maxim audi alteram partem. Secondly, the order so passed by the authorities should give reasons for arriving at any conclusion showing proper application of mind. Violation of either of these principles normally would render an order particularly quasi-judicial in nature invalid. Violation of principles of natural justice is violation of basic rule of law and would invite judicial chasticism. However, this rule is not without exceptions. Of course, the exception to such a rule are rare. Where the legislative scheme of provisions of a statute suggest that intent of the legislature is to take emergent action, in that event and subject to fulfillment of ingredients of the provisions, an order could be passed without affording pre-decisional hearing and an ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... atter whether the order of suspension should continue during the period of enquiry or otherwise. Such an approach would be just, fair and would further the object sought to be achieved by these provisions. The expression 'immediate' has to be harmoniously read and construed with other provisions including the provisions of regulations 20 and 22. The period specified in regulation 22 would have the effect of rendering the expression 'immediate' ineffective and meaningless. Therefore, applying the principle of harmonious construction, the provisions will have to be given their true and correct meaning and they should be permitted to operate in the field in which they are intended to operate by the legislature, so as to avoid any conflict between the language of these two provisions. An order of suspension is bound to have serious consequences upon the business of the agent and tantamounts to practically closing the business of the agent. As such to permit an order of suspension, even passed in emergent situations, to continue for indefinite period without hearing the agent would definitely be infringement of the principles of natural justice and basic rule of law as w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... which would entail from such action. In the case of Mohinder Singh Gill v. The Chief Election Commissioner, New Delhi- AIR 1978 SC 851, the Supreme Court held as under:- "We have been told that wherever the Parliament has intended a hearing it has said so in the Act and the rules and inferentially where it has not specified it is otiose. There is no such sequitur. The silence of a stature has no exclusionary effect except where it flows from necessary implication." 14. We have already noticed that plain reading of the regulation 20 (2) would show that it is an emergent provision and its very purpose may be frustrated if the hearing is to be granted without exception and irrespective of the compelling facts and circumstances of the case, justifying passing of such an order. In the present case, no circumstances existed which would suggest invoking of this emergency provisions without taking recourse to the principle of natural justice. Furthermore, the order does not state, much less specifically give reasons which show proper application of mind by the concerned authorities for arriving at such a conclusion. Even administrative orders should be supported by proper reasons and app ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
