1998 (9) TMI 91 - HC - Central Excise

Summary

Issues:
1. Writ petition seeking Certiorari to quash a show cause notice for contravention of Central Excise laws.
2. Premature filing of writ petition without exhausting remedies under Central Excise and Customs Act.

Analysis:
1. The petitioner filed a writ petition seeking Certiorari to quash a show cause notice alleging contravention of Central Excise laws by manufacturing and clandestinely removing steel structures without proper licenses and payment of duty. The notice required the petitioner to explain why action should not be taken against them. However, the court found the writ petition premature as the petitioner had not exhausted the remedies provided under the Central Excise and Customs Act. The court cited precedents emphasizing the need to follow the prescribed statutory remedies for challenging assessment orders rather than resorting to Article 226 of the Constitution prematurely.

2. Referring to the case law, the court highlighted that the petitioner should have first given a reply to the show cause notice and then, if dissatisfied, filed an appeal before the Commissioner of Central Excise. The court directed the petitioner to submit a reply to the show cause notice within one month from the judgment date. It was further ordered that no recovery action shall be taken against the petitioner until the appropriate authority passes a speaking order on the matter. The writ petition was disposed of accordingly without any costs imposed on either party.