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Issues: (i) Whether suspension of a Custom House Agent licence under Regulation 21(2) of the Custom House Agents Licensing Regulations, 1984 could be sustained when no prior notice or post-decisional hearing was given; (ii) Whether the suspension order, stated to be pending investigation under Regulation 23, could stand when no investigation had in fact been initiated.
Issue (i): Whether suspension of a Custom House Agent licence under Regulation 21(2) of the Custom House Agents Licensing Regulations, 1984 could be sustained when no prior notice or post-decisional hearing was given.
Analysis: The requirement of fairness is inherent in the suspension power. Even if Regulation 21(2) does not expressly provide for notice before suspension, the authority must afford a reasonable opportunity of hearing. Where pre-decisional hearing is absent, a prompt post-decisional hearing is necessary to satisfy the rule of natural justice.
Conclusion: The suspension order could not be treated as validly sustained without compliance with natural justice, including at least a post-decisional hearing.
Issue (ii): Whether the suspension order, stated to be pending investigation under Regulation 23, could stand when no investigation had in fact been initiated.
Analysis: The order rested on the stated foundation of a pending investigation and finalisation under Regulation 23. The record showed no investigation, no show cause notice, and no step taken under Regulation 23 even after several months. The factual basis for the suspension was therefore not established.
Conclusion: The suspension lacked the factual foundation on which it was issued, and the order was unsustainable on that footing.
Final Conclusion: The appeal resulted in a conditional interference with the suspension, with directions to grant hearing and pass a speaking order, failing which the suspension would cease to operate.
Ratio Decidendi: A suspension of a Customs House Agent licence under Regulation 21(2) must conform to natural justice, and where the stated basis of suspension is pending investigation, the order cannot be sustained if no investigation or post-decisional hearing has been undertaken.