9911796707
TMI Blog2024 (3) TMI 506X X X X Extracts X X X X X X X X Extracts X X X X ..... gs consequent upon order of competent authority under the Insolvency and Bankruptcy Code (IBC), 2016, has moved this application for 'out of turn' disposal of appeal [85155 of 2024] filed by M/s Coastal Energy Pvt Ltd (CEPL) against indefinite deferment of proceedings, arising out of show cause notice issued to several entities and persons, communicated in order dated 22nd November 2023 from file [S/26-98/Adj.DRI/Coastal Energy/2017-18] of Commissioner of Customs (Adjudication), Mumbai. Learned Counsel for the Official Liquidator submitted that their plea of limited relief, within the narrow compass of detriment to them by enlarging the scope of stay granted to other noticees, warrants immediate disposal. He pointed out the Hon'ble High Cou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ports, show cause notice [DRI/MZU/F/INT-160/2014] was issued on 14th February 2017 to several importers, including M/s Coastal Energy Pvt Ltd (CEPL), and individuals by Principal Additional Director General, Mumbai Zonal Unit, Directorate of Revenue Intelligence (DRI) to be adjudicated by Additional Director General (Adjudication) ostensibly under the authority of notification no. 6/2017-Cus (NT/CAA/DRI) dated 31st July 2017 of the Central Board of Excise & Customs (CBEC). The noticees, by communication of 25th March 2019, were intimated that the dispute was transferred to 'call book' to be kept pending till some particular consummation occurred. However, after re-designation of adjudicating authority as Commissioner of Customs (Adjudicati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , pending the hearing and final disposal of the petition further adjudication of the show cause notice shall also remain stayed.' in the order of the Hon'ble High Court of Bombay. It was further submitted that it is well-settled legal principle that 'piece-meal adjudication' is grossly improper. 6. With the backdrop of these rival contentions, we turn to the correctness of the presumption by the adjudicating authority that the order of the Hon'ble High Court of Bombay was intended to cease further proceedings in entirety. It is well-settled in law that an order or judgement, of appellate authority or constitutional court, operates qua the appellant/petitioner and respondent therein and none else even though qualified to be cited as prece ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bed by law to, each of the entities or persons therein. Hence, notice to multiple persons/entities arising from the same cause of action are, in effect, separate notices which, in the interest of convenience to avoid narration of common foundational facts and investigation outcome, are clubbed together. Generally, such notices are adjudicated at one go which, however, does not militate against the notice to each entity or person being amenable to disaggregation at time of issue or in disposal of consequent adjudication. 8. Moreover, the order of adjudication, whether in favour of all, or some, noticees and against all, or some, others, renders specific findings and consequences in relation to each. It would, therefore, appear that, legally ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and M/s Tamil Nadu Newsprint Ltd were concerned with 90 and 5 respectively with no hint even of convergence on facts for adjudication, let alone for issue of show cause notice, in common. That such recourse was had does not obviate the circumstances in which separate notices would, normally, have been resorted to. 10. We take note that the notice pertains to separate imports and, insofar as far as the three importers are concerned, there is no overlap at all. Similarly, while the individual noticees may be tied to the facts pertaining to one or the other of the importers, there is no overlap insofar as role relating to transactions of other importers are concerned. It is all too clear that segregation of the notice into three, encompassing ..... X X X X Extracts X X X X X X X X Extracts X X X X
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