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2019 (7) TMI 1656 - AT - CustomsJurisdiction to issue SCN - power of DRI to issue SCN - whether the Officers of DRI, can issue show-cause notice for the period prior to 08.04.2011? - HELD THAT:- It is true that the question as to whether the Officers of DRI, can issue show-cause notice for the period prior to 08.04.2011, has been the subject matter of the orders passed by the various High Courts - In the case of M/S MANGALI IMPEX LTD., M/S PACE INTERNATIONAL AND OTHERS VERSUS UNION OF INDIA AND OTHERS [2016 (5) TMI 225 - DELHI HIGH COURT], the Hon’ble High Court of Delhi, has held that the Officers of DRI had no such power, while the Hon’ble High Court of Bombay in SUNIL GUPTA VERSUS UNION OF INDIA AND OTHERS [2014 (12) TMI 151 - BOMBAY HIGH COURT] had, on the other hand, held that the Officers of DRI had such power. The decision of the High Court of Delhi in the case of Mangali Impex Ltd., has been stayed by the Hon’ble Supreme Court. In this factual matrix, in several cases, the Tribunal had remanded such matters to the lower authority to decide the matter on merits after the decision by the Hon’ble Apex Court in the case of Mangali Impex Ltd. - Such remand orders have been challenged before the Hon’ble High Court of Delhi in the case of Commissioner of Customs Vs. Arif Khichi [2018 (6) TMI 23 - DELHI HIGH COURT] and the Hon’ble High Court has held that the decision of the Hon’ble High Court of Delhi in the case of Mangali Impex Ltd., has been stayed by the Hon’ble Apex Court and therefore, the Tribunal ought to have decided the issue on merits including the issue of jurisdiction of DRI Officer for issuance of show-cause notice and the Tribunal remanding the matter causes harassment to the assessee and inconvenience to the Department. Thus holding, the Hon’ble High Court of Delhi had directed the Tribunal to recall their appeal in that case and decide the issue on merits including the jurisdiction issue without being influenced by the aforesaid order of the Hon’ble High Court in the case of Mangali Impex Ltd. The impugned order passed by the first appellate authority remanding the matter to the lower authority is not correct and needs to be set aside - the matter has to be examined on merits by the first appellate authority as well as on the question of jurisdiction of DRI Officer to issue show-cause notice - Appeal allowed by way of remand.
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