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of <h1>Customs Commissioner's License Suspension Violated Natural Justice; Fair Hearing Ordered</h1> The Tribunal found the Commissioner of Customs violated natural justice principles by suspending a Custom House Agent's license without a post-decisional ... Custom House Agents Licence - Suspension of - Natural justice Issues:Appeal by Custom House Agent against suspension of license under Custom House Agents Licensing Regulations, 1984 - Breach of natural justice by Commissioner of Customs - Requirement of post-decisional hearing - Violation of rule of natural justice - Lack of investigation or show cause notice under Regulation 23.Analysis:The judgment pertains to an appeal by a Custom House Agent (CHA) challenging the suspension of their license by the Commissioner of Customs under Regulation 21(2) of the Custom House Agents Licensing Regulations, 1984. The impugned order of suspension was issued without prior notice to the party, raising concerns about the breach of natural justice. The CHA argued that despite the suspension ten months ago, no investigation had been initiated under Regulation 23, and the Commissioner failed to provide a post-decisional hearing, as mandated by the Tribunal's Larger Bench judgment in Freightwings and Travels Ltd. v. CC, Mumbai. The Commissioner's failure to adhere to the principles of natural justice was highlighted, emphasizing the need for a fair hearing before suspending the license.The Tribunal noted that while there was no explicit requirement for notice under Regulation 21(2), the rule of natural justice was implicit, necessitating a reasonable opportunity for the CHA to be heard before license suspension. Citing the Freightwings and Travels case, the Tribunal emphasized the importance of post-decisional hearing in cases where no prior hearing was granted. The Larger Bench's directive regarding post-decisional hearing was reiterated, emphasizing the need for fairness and procedural propriety in quasi-judicial actions. The Tribunal found that the Commissioner's failure to provide a post-decisional hearing rendered the suspension order invalid, as it did not meet the standards of natural justice set by the apex court.Furthermore, the Tribunal observed that despite the suspension being 'pending investigation and finalization of the matter under Regulation 23,' there was no evidence of any investigation being initiated or any show cause notice issued to the CHA. This lack of investigative action undermined the basis of the suspension order. However, the Tribunal refrained from setting aside the order immediately, opting to follow the directive of the Larger Bench. The Commissioner was directed to conduct a hearing, issue a speaking order within thirty days, and determine whether the suspension should continue. Failure to comply would result in setting aside the suspension order, with a clear indication that the Tribunal's decision did not impede further proceedings under Regulation 21(1) read with Regulation 23.In conclusion, the appeal was disposed of with a direction to the Commissioner to conduct a fair hearing and issue a reasoned order within the specified timeline, ensuring compliance with the principles of natural justice and procedural fairness in the handling of the CHA's license suspension matter.
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