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2022 (10) TMI 334 - HC - CustomsValidity of SCN - case of petitioner is that SCN could only have been issued after pre-show cause notice consultation - Section 28(1) (a) of the Customs Act, 1962 - HELD THAT:- In the facts of this case, it is not in dispute, that the pre-consultation notice is dated 14.12.2021, and therefore, 15 days would have expired only on 29.12.2021 - Admittedly, the SCN was issued prior to the expiry of the statutory time-frame. There has been a violation of not only the safeguard provided in the proviso appended to Section 28(1)(a) of the 1962 Act requiring holding pre-notice consultation with the person chargeable with tax and interest but also infraction of the right of such person, to be accorded, in the very least, 15 days under sub-regulation (2) of Regulation 3 of the 2018 Regulations to respond to any such initiative of holding such consultation - the importance of pre-show cause notice consultation is exemplified in the provisions of sub-regulation (4) of Regulation 3. As noticed in the order dated 29.08.2022, a plain perusal of the said provision would show, that it is quite possible, that after consultation, the concerned authority may decide to drop the proceedings if it is satisfied with explanation it receives during such process. The pre-show cause notice consultation, as provided, both in the 1962 Act as well as the 2018 Regulations, is necessary, as the object of having such provisions is to stem the tide of litigation between the revenue and assessee - the respondent no.2/revenue has failed to adhere to this provision, is quite evident in the instant case. Petition disposed off.
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