Case Note & Summary
The Commissioner of Customs and Central Excise, Goa, filed nine Customs Appeals under Section 130 of the Customs Act, 1962, against orders of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT), West Zonal Bench, Mumbai. The appeals were admitted on 26 September 2012 on substantial questions of law and were pending final hearing. Subsequently, the appellant filed miscellaneous civil applications seeking withdrawal of the appeals and review of the Tribunal's orders, relying on instructions issued by the Central Board of Excise and Customs (CBEC) vide F.No.390/MISC/163/2010-JC dated 17 December 2015. These instructions, issued in partial modification of earlier instructions dated 17 August 2011, directed the withdrawal of appeals involving low revenue and a review of Tribunal orders in line with a monetary threshold policy. The appellant submitted that the instructions were binding and that the appeals involved amounts below the prescribed threshold. The respondent, Sesa Goa Limited, did not oppose the applications. The Court, comprising Justices Anoop V. Mohta and Nutan D. Sardessai, allowed the applications, permitting the withdrawal of the appeals and the review of the Tribunal's orders. The Court noted that the instructions were issued under Section 35R of the Central Excise Act, 1944, made applicable to Service Tax under Section 83 of the Finance Act, 1994, and Section 131BA of the Customs Act, 1962. The Court disposed of all appeals and applications by a common judgment, holding that the Revenue was entitled to act upon the CBEC instructions in the public interest.
Headnote
A) Customs Law - Withdrawal of Appeals - Monetary Threshold - The appellant Revenue sought withdrawal of appeals and applications based on CBEC instructions F.No.390/MISC/163/2010-JC dated 17.12.2015, which directed withdrawal of appeals involving low revenue and review of Tribunal orders. The Court permitted withdrawal, noting that the instructions were binding and the respondent had no objection. (Paras 1-5) B) Customs Law - Review of Orders - Section 131BA Customs Act, 1962 - The appellant also sought to review the orders of the Tribunal in light of the same CBEC instructions. The Court allowed the review applications, observing that the instructions were issued in the public interest and the respondent did not oppose. (Paras 2-5) C) Customs Law - Central Excise Act, 1944 - Section 35R - The CBEC instructions were issued under Section 35R of the Central Excise Act, 1944, made applicable to Service Tax vide Section 83 of the Finance Act, 1994, and Section 131BA of the Customs Act, 1962. The Court held that the instructions were valid and the Revenue was entitled to act upon them. (Paras 2-3)
Issue of Consideration
Whether the appellant (Revenue) should be permitted to withdraw the appeals and applications in view of the instructions issued by the Central Board of Excise and Customs (CBEC) to withdraw appeals involving low revenue and to review the orders of the Tribunal.
Final Decision
The Court allowed the applications, permitted withdrawal of the appeals, and disposed of all appeals and applications accordingly.
Law Points
- Withdrawal of appeals
- Monetary threshold for litigation
- Review of orders
- Instructions of Central Board of Excise and Customs
- Section 35R Central Excise Act 1944
- Section 131BA Customs Act 1962
