2016 (2) TMI 1013 - HC - Customs

Speaking order or issuance of SCN - Section 17(5) of the Customs Act 1962 - the period to which the purported show cause notice pertains has not been mentioned - Held that - in order to cut short the controversy we direct the respondents to either pass a speaking order under Section 17(5) of the Customs Act 1962 within 15 days in respect of bills of entry of the petitioner with effect from 21st February 2014 to 23rd February 2015 - petition allowed - decided in favor of petitioner.

Summary

Issues:
1. Interpretation of options given to Custom Authorities in a letter dated 24th February, 2015.
2. Discrepancy regarding the period covered by the show cause notice.
3. Directing Custom Authorities to take specific actions under Section 17(5) of the Customs Act, 1962.

Analysis:
1. The counsel for the Petitioner highlighted two options provided to Custom Authorities in a letter dated 24th February, 2015. The options requested either a speaking order under Section 17(5) of the Customs Act, 1962, or the issuance of a show cause notice based on the data submitted by the Petitioner. This request was reiterated for enabling the Petitioner to present oral and written submissions.

2. The Respondent, represented by Mr. Satish Kumar, argued that a show cause notice had already been issued, referencing Paragraphs 5 & 6 of the counter affidavit. However, the period covered by this show cause notice was not explicitly stated. The Petitioner's counsel contended that the notice referred to in the counter affidavit spanned from 17th March, 2012 to 16th March, 2014. To resolve this discrepancy, the court directed the Custom Authorities to take specific actions within a defined timeline.

3. In a bid to settle the dispute swiftly, the court ordered the respondents to either issue a speaking order under Section 17(5) of the Customs Act, 1962 within 15 days concerning the bills of entry of the Petitioner from 21st February, 2014 to 23rd February, 2015. If a show cause notice had already been issued for this period, no further action was deemed necessary. However, if such a notice had not been issued, the Custom Authorities were given the option to either pass a speaking order or issue a show cause notice within the stipulated 15-day period. Consequently, the writ petition was disposed of based on the court's directions.