2023 (9) TMI 289 - CESTAT MUMBAI

Principles of natural justice - SCN not decided completely but in piecemeal - non-ascertainment of MRP - non-adjudication of the issue of time bar/extended period - HELD THAT:- Time and again the Hon’ble Supreme Court has deprecated the practice of piecemeal adjudication. If the piecemeal adjudication is permitted and department is permitted to demand duty after carrying out the exercise as directed in the impugned order, then another issue will crop up whether another show cause notice be issued for the very same period/goods for which earlier show cause notice has already been adjudicated - the adjudicating authority ought to have worked out the MRP and after allowing admissible abatement should have worked out the duty demand instead of issuing directions to the department to do the same after determining the same under Rule 4 ibid. After working out the duty, the adjudicating authority ought to have adjudicated on the issue of penalty or interest also.

The invocation of extended period of limitation, which is very important aspect of the matter, has also been left open whereas the same ought to have been decided before going into the other issues because if the assessee succeeds on that issue then there would have been very less period or no period left for adjudicating the issue on merits. Piecemeal adjudication is the least of the judicial virtues which is not approved.

So far as the denial of cross-examination of the officers who investigated the case, is concerned, there are no valid justification for denying the same to the assessee because justice should not only be done but must be seen to be done.

Matter remanded back to the adjudicating authority for deciding the same afresh after following the principle of natural justice and giving proper opportunity of hearing to the assessee.