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2019 (1) TMI 1806 - AT - CustomsTime Limitation for issuance of SCN - Extension of time for issuance of Show Cause Notice - amended provisions of Section 110(2) of Customs Act - HELD THAT:- Similar issue has come before Hon’ble Tribunal in case of HARBANS LAL VERSUS COLLECTOR OF CENTRAL EXCISE & CUSTOMS [1993 (7) TMI 76 - SUPREME COURT] wherein it is held that two Sections 110 and 124 are independent, distinct and exclusive of each other resultantly in the reviewing the proceedings of Section 124 in case itself with the seized goods might have been return or has been returned in terms of Section 110 of the Customs Act after the expiry of permissible seizure. Reliance placed in the case of Sardar Kulwant Singh vs. Collector of Central Excise and Customs [1980 (10) TMI 62 - HIGH COURT OF DELHI AT NEW DELHI], wherein it is held that an order extending period of issue of Show Cause Notice under Section 110(2) and 124 of the Customs Act, 1962, without giving an opportunity of being heard to the affected party is illegal. Further, the requirement of issue of Show Cause Notice issued under Section 124 of the Customs Act in such a case was held to be a must relying upon the various judgments referred as above. Relying on these judgments, we find that the seized goods are required to be returned to the person from whom the seizure has been made of fact of expiry of six month under Section 110 of the Act without extension of time - Regarding the Revenue contention that with effect of the amendment carried out in Section 110(2) of the Customs Act, the requirement of issuance of Show Cause Notice is dispensed with is without any basis - Careful analysis of the provision makes it clear that the right of issuance of the Show Cause Notice for the extension of the period of six months as prescribed under said sub-Section of Section 110(1) remains same from which the emanate right of Show Cause Notice to the affected party in furtherance of Principle of Natural Justice as his rights are being prejudicially affected. The amendment will not obliterate the aforesaid position of issuance of Show Cause Notice has discussed above, even after insertion of with new sentence in the provisions of Section 110(2) of the Act. In fact, after amendment not only the Show Cause Notice is required to be issued by the Adjudicating Authority, but he has also to give a reasoned order after hearing the Investigation Officer and also taking view of the affected party from whom seizure has been made as his personal right is being deprived of which emanate from the Section 110(1) of the Act that entitled him to got the goods returned which has been seized from his possession. The impugned order is in violation in this provisions of Section 110 of the Customs Act - Appeal allowed - decided in favor of appellant.
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