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2023 (10) TMI 1390 - BOMBAY HIGH COURTJurisdiction - Powers of the Revenue Department to resume inquiry into the show cause cum demand notices issued in the matters of proposed reversal under Rule 14 of the Cenvat Credit Rules, 2004 read with Section 11A of the Central Excise Act, 1944, after lapse of more than 10 years - HELD THAT:- Since the proposed action regarding reversal was contemplated, the provisions of Section 11A of the Central Excise Act, 1944 are sought to be invoked for raising the demand and recovery. The provision of Section 11A inter alia provides for a period of limitation within which the notices are supposed to be issued to make the recoveries and provides that the action of recovery has to be initiated within six months/2 years from the date of notice depending upon the facts whether it is a case falling under Sub-Section 1 or Sub-Section 2 respectively. It is, therefore, abundantly clear that contrary to this statutory time limit, the respondents have now revived the inquiries after more than a decade and the action would apparently be illegal. In respect of similar proceedings under the service tax matters under Section 73 of the Finance Act, coordinate benches of this Court in the matters of Reliance Transport and Travel Pvt. Ltd. [2022 (3) TMI 1169 - BOMBAY HIGH COURT], ATA Freight Line (I) Pvt. Ltd. [2022 (3) TMI 1162 - BOMBAY HIGH COURT] and Coventry Estate Pvt. Ltd. [2023 (8) TMI 352 - BOMBAY HIGH COURT], the actions initiated after prolonged period have been struck down. The impugned actions of reviving the inquiries which were in cold storage for more than a decade are clearly contrary to the law and is liable to be struck down - Petition allowed.
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