2014 (11) TMI 1047 - AT - Customs

Validity of Assistant Commissioner of Customs order- Non-speaking order passed confirming huge amount of duty with interest when Hon ble Supreme Court ordered to maintain status quo- Held that No order could be passed in terms of the Tribunal s order and the assessment could not have been finalized when the Hon ble Supreme Court ordered to maintain status quo while admitting the civil appeal. The only course of action left is to await the outcome of the decision of the Hon ble Supreme Court in the said Civil Appeal and thereafter, appropriate action in accordance with law could be initiated. Therefore, the orders passed by both the lower authorities are set aside as being non- speaking and incorrect in law and are directed to await the outcome of the decision of the Hon ble Apex Court in the matter before initiating any final action. - Decided in favour of Revenue

Summary

Issues:
1. Appeal against Order-in-Appeal No. GOA/CUS/GSK/131-132/2012 passed by Commissioner of Customs (Appeals)
2. Eligibility for concessional rate of Customs duty for Project Imports under CTH 9801
3. Finalization of assessment despite the directive to maintain status quo by the Hon'ble Supreme Court

Analysis:

Issue 1:
The Revenue appealed against Order-in-Appeal No. GOA/CUS/GSK/131-132/2012, contending it was non-speaking. They requested for the order to be set aside and, if necessary, remanded to the assessing officer for a reasoned decision after affording a personal hearing to the relevant parties. The Tribunal reviewed the facts and directions given in a previous order and noted the Revenue's appeal to the Hon'ble Supreme Court. The lower appellate authority upheld the duty and interest liability computation but set aside the Order-in-Original. Both parties appealed this decision, leading to the current appeal.

Issue 2:
The case involved the eligibility of M/s. DPC for a concessional rate of Customs duty for Project Imports under CTH 9801. The Tribunal had previously issued directions regarding this matter, which were contested by the Revenue. The Hon'ble Supreme Court directed to maintain status quo pending the appeal. However, the Assistant Commissioner proceeded to finalize the assessment based on the Tribunal's order, resulting in a duty demand and interest. The lower appellate authority upheld the computation but set aside the Order-in-Original, leading to further appeals.

Issue 3:
Despite the directive from the Hon'ble Supreme Court to maintain status quo, the assessment was finalized by the Assistant Commissioner. The Tribunal emphasized the need to await the Supreme Court's decision before taking any final action. Consequently, the orders of the lower authorities were set aside, and they were directed to await the Supreme Court's decision before proceeding. The appeals were disposed of accordingly, and the cross-objection was also addressed without delving into the merits, emphasizing the importance of following the Supreme Court's directive.

This detailed analysis covers the issues raised in the legal judgment comprehensively, highlighting the key arguments, directions, and decisions made by the Tribunal regarding the appeal and related matters.