By TIOL News Service

JODHPUR, MAY 19, 2016: THE following substantial question of law is before the High Court:-

“Whether the Customs, Excise and Service Tax Appellate Tribunal under the order dated 17.06.2015 is justified in accepting that the order dated 21.12.2010 was adequately served upon the appellant though no evidence was adduced as to whether the post was ever tendered or affixed in the manner provided under sub-section (1) of Section 37 C of the Central Excise Act, 1944?"

The appellant submitted that no material was available with the respondent to arrive at the conclusion that the notice issued was ever served upon the appellant.

The counsel for the Revenue submitted that as per Section 37C of the CEA, 1944 every decision or order passed or any summons or notices issued under this Act or the rules made thereunder, shall be deemed to have been served on the date on which the decision, order, summons or notice is tendered or delivered by post or a copy thereof is affixed in the manner provided in sub-section (1) of Section 37 C.

Inasmuch as in view of the fact that the notice was sent by-post, it is to be deemed that the service was effected.

The High Court observed that there was no merit in the stand taken by the respondents.

It was concluded thus -

"6. It is obligatory upon the Tribunal to satisfy itself about delivery or tendering of the notice before presuming that the notice was served as per sub-section (2) of Section 37 C of the Act of 1944. No such prima facie satisfaction has been recorded by the Tribunal. In view of it, this appeal deserves acceptance. Accordingly, the same is allowed. The order dated 09.6.2015 passed by the Customs, Excise & Service Tax Appellate Tribunal, Principal Bench, New Delhi and the order dated 15.10.2013 passed by the Commissioner, Customs & Central Excise (Appeals-I), Jaipur are set aside. The matter is remanded for its adjudication on merits by the Appellate Authority. The appellant shall appear before the Appellate Authority i.e. the Commissioner, Customs & Central Excise (Appeals-I), Jaipur on 16.5.2016 and the Commissioner shall decide the appeal on merits provided the appellant deposits 25% of the principal amount."

The appeal was disposed of.

(See 2016-TIOL-956-HC-RAJ-CX)