By TIOL News Service

MUMBAI, JUNE 10, 2015: THE CHA License was suspended under Regulation 22 of CHALR 2004 vide Commissioner's order dated 25.10.2011.

In appeal, the Tribunal vide Order dt. 19.12.2013 (received by Commissioner on 21.1.2014) directed the Commissioner to complete the necessary proceedings under CHALR within a period of one month from the date of receipt of the Tribunal's order.

We reported this order - 2014-TIOL-85-CESTAT-MUM thus –

Cus - CHA licence suspended on the basis of CBI inquiry that the appellant was bribing Customs officials and getting favourable orders in the matter of release of consignments - as departmental officers have been issued charge sheets, Commissioner of Customs (General) to complete inquiry proceedings under CHALR within one month - Miscellaneous application & appeal disposed: CESTAT

Vide Order dt. 17.2.2014, the Commissioner withdrew suspension of the CHA Licence with immediate effect pending inquiry under erstwhile Regulation 22 of CHALR 2004. Again vide order dt. 3.3.2014 the Tribunal directed the Commissioner to complete the inquiry within six months from the date of its order. On conclusion of inquiry proceedings under Regulation 22, the Commissioner vide order dt. 26.2.2015 revoked the CHA License.

Prior to this, the Tribunal vide its Order dt. 2.2.2015 directed the Commissioner to complete both the proceedings, against the Revenue Officers as well as the appellant CHA simultaneously within a period of four months from the date of Tribunal order.

Against this order the Revenue has filed a Miscellaneous Application.

Before the CESTAT, the AR submitted that it is not practically possible to complete proceedings against the Revenue Officers under CCS (CCA) Rules within the time specified by CESTAT. And importantly, even otherwise, the matter does not fall under the domain of the CESTAT.

The respondent stated that it will amount to gross injustice if both the proceedings i.e. against the CHA under the CHALR, 2004 and against the officers are not completed simultaneously.

The Bench found merit in the contention of the AR and, therefore, observed -

"…The Tribunal has only powers conferred on it by the Customs Act, Central Excise Act, and Finance Act, 1994. The Tribunal does not have any powers under the Central Civil Services (Classification, Control and Appeal) Rules 1965 to take action or even to recommend or give any directions to the Commissioner regarding action against the errant officers. Therefore, we agree with the miscellaneous application for rectification to the following extent."

Accordingly, in Paragraph-4 of its Order No. M/922-923/15/CB dt. 2.2.2015, the line "We further direct to complete both the proceedings against the Revenue Officer(s) as well as the appellant - CHA simultaneously" was deleted.

The ROM application was allowed.

(See 2015-TIOL-1080-CESTAT-MUM)