TaxTMI 
TaxTMI 
TaxTMI 
The GST Act provides for the mechanism of revision, by the Revisional Authority, of the orders passed by his subordinate officers. If the Revisional Authority on examination of the case records is of the view that the decision or order passed by any officer subordinate to him is erroneous in so far as it is prejudicial to the interest of the revenue, and is illegal or improper or has not taken into account material facts, he may, if necessary, stay the operation of such decision or order for such period as he deems fit and after giving the person concerned an opportunity of being heard and after making such further inquiry as may be necessary, pass such order, as he thinks just and proper, including enhancing or modifying or annulling the said decision or order.
It may be noted that ‘decisions’ shall include intimation given by any officer lower in rank than the Revisional Authority.
It may be noted that all the orders or decisions are not subject to revision mechanism. The revision shall not be applicable to all non-appealable orders and decisions which cannot be revised. The non-appealable orders are dealt with in section 121 of CGST Act, 2017 and section 108 is subject to the provisions of section 121 of CGST Act, 2017.
Revision of Orders relating to Bail
Section 132 of CGST Act, 2017, provides for cognizable and non-bailable offences. Read with code of Criminal Procedure, 1973 and section 69 of CGST Act, 2017, the authorities can arrest a person if authorized from the Commissioner on account of offences committed under section 132 of CGST Act, 2017. Where the amount involves more than 5 crores, it is a case of cognizable and non-bailable offence. Where the amount is less than 5 crores, it is a case of non-cognizable and bailable offence.
There could be an issue whether the orders of bail can be subject to the provisions of revision under section 108 of CGST Act, 2017. According to section 108(1) of CGST Act, 2017, any decision or order passed under the CGST Act by any officer subordinate to the Revisionary Authority that is found erroneous insofar as it is detrimental to the interest of revenue and is illegal or improper or has not taken into account certain material facts, the Revisional Authority may, if necessary, stay the operation of such decision or order for such period as he deems fit and after giving the person concerned an opportunity of being heard and after making such further inquiry as may be necessary, pass such order, as he thinks just and proper, including enhancing or modifying or annulling the said decision or order.
A plain reading of sub-section (1) would reveal that the revision power can be exercised only when interest of revenue is at stake i.e., to protect the revenue.
In case of bail orders, it can be assumed that in all the cases, there would be a question of interest of revenue and in such cases, waiver or stay or modification of bail conditions may be considered against the interest of revenue. Thus, as per sub-section (1), revisionary authority is not authorized to waive off/stay the operation of any bail conditions imposed thereof by the Assistant Commissioner/ Deputy Commissioner which is not prejudicial to the interest of the revenue.
Further, this view gets strength from sub-section (2) which provides that the Revisional Authority shall not exercise any power under Section 108(1) of the Act ibid, if the period specified under sub-section (2) of Section 107 has not yet expired or more than three years have expired after the passing of the decision or order sought to be revised. According to sub-section (2) of Section 107 (Appeals to Appellate Authority), the revisionary authority should not exercise any powers unless and until six months have been lapsed from the date of communication of the decision or order of the subordinate Officers.
GST law also provides that in cases of bail, CGST officers shall have the same power as that of incharge of a police officer. As such, for the purpose of bail the CGST officer is exercising his powers under Section 69(3)(b) of the Act, which is akin to officer-in-charge of a police station as provided under Section 436 of the Code of Criminal Procedure, 1973. The Revisional Authority can have power to revise any order or decision taken under the GST Acts only but not under any other statutes. Therefore, the revisionary authority authorized under Section 108 of the CGST Act, 2017 has not empowered to stay the operation or revisit the bail conditions imposed under the provisions of Code of Criminal Procedure, 1973.
Actually, it is the Revisionary Authority which has to initiate the proceedings which are having detrimental effect on revenue. Thus, the cause of action cannot be initiated by preferring the revision application under section 108 of the Act ibid which are not having any harmful effect on the revenue. The revision application filed before the Revisional Authority will not be maintainable in respect of the Bail matters.
The authority which has imposed conditions of the Bail is empowered to waive/modify/stay the operation of the conditions depending upon stage of the investigations and looking into the facts and circumstances of the case.
The Criminal Procedure Code is the key legislation on procedure for administration of substantive criminal law in India. As per section 397(1) of the Criminal Procedure Code, 1973 the High Court and the Sessions Court, may call for record of any proceeding of any inferior criminal Court situated within its jurisdiction for the purpose of satisfying itself as to the correctness, legality or propriety of any finding, sentence or order, recorded or passed etc. Sections 399 and 401 of the Criminal Procedure Code, 1973 deals with the revisionary powers of Sessions Court and High Courts respectively.