VCES declaration cannot be rejected for a general document requisition absent a specific pending enquiry.

A VCES declaration cannot be rejected merely because the department had issued a broad requisition for documents; rejection requires a specific enquiry to be pending on the relevant date. Here, the DGCEI communication sought multiple records across several years without identifying any particular transaction or issue, so it was treated as a roving enquiry rather than a pending specific investigation. The clarificatory Board Circular dated 25.11.2013 supported acceptance of the declaration, and a later show cause notice could not defeat a declaration already filed. The HC upheld the Tribunal's view and accepted the assessee's declaration.

---

---

Issues: Whether the respondent-assessee's VCES declaration was liable to be rejected on the ground that an enquiry was pending against it on the relevant date.

Analysis: The communication issued by the DGCEI merely called for a wide range of documents for several financial years without disclosing any specific transaction, query, or matter under enquiry. The reference to Section 14 of the Central Excise Act did not convert the exercise into a specific enquiry, and the communication was treated as one issued in the nature of a roving enquiry. The Board Circular dated 25.11.2013, being clarificatory, supported acceptance of the declaration in such circumstances. The later show cause notice could not be relied upon to defeat a declaration already filed. The precedent relied upon by the Revenue was held distinguishable on facts.

Conclusion: The declaration was not liable to be rejected, and the Tribunal's view accepting the declaration was upheld in favour of the assessee.

Ratio Decidendi: A VCES declaration cannot be rejected merely because a broad document-requisition notice has been issued; unless a specific enquiry is shown to be pending, a roving and unspecific requisition does not attract rejection of the declaration, and binding circulars must be followed by departmental .

---