2018 (9) TMI 1707 - HC - Customs

Court Orders Respondents to File Statutory Appeal Promptly

M/s. Novel Impex Versus The Commissioner of Customs (Group-3) Chennai II Commissionerate, The Deputy Commissioner of Customs (Group-3), Chennai

The Court directed the respondents to file a statutory appeal within two weeks, balancing the petitioner's entitlement to provisional release and the ... Direction to comply with CESTAT order - provisional release of goods - Statutory right of filing an appeal sought to be curtailed - Held that:- Mandamus cannot be issued to curtail the statutory right of the respondents, in preferring an appeal under the provisions of the Customs Act. But at the same time, considering the lis between the parties, provisional release has already been directed to be made, subject to certain conditions. Petitioner has a right to seek for provisional release. Equally respondents have a right to prefer a statutory appeal. Writ appeal is disposed of with a direction to the respondents to file the statutory appeal within two weeks from today, failing which order of CESTAT, Madras, in final order No.41201 of 2018 in C/40687/2018-DB dated 13.04.2018, should be implemented. Issues:1. Implementation of CESTAT order for provisional release of goods.2. Failure to respond to petitioner's request and non-implementation of CESTAT order.3. Statutory right of filing an appeal under the Customs Act.4. Mandamus to curtail statutory appeal rights.5. Timely filing of statutory appeal and implementation of CESTAT order.Issue 1: Implementation of CESTAT order for provisional release of goodsThe CESTAT, Madras, in Final Order No.41201 of 2018 directed the provisional release of goods subject to certain conditions, including payment of duty and execution of a personal bond. The petitioner sought a writ of mandamus to enforce compliance with the CESTAT order, as it had not been implemented by the Customs authorities despite repeated requests.Issue 2: Failure to respond to petitioner's request and non-implementation of CESTAT orderThe petitioner, M/s.Novel Impex, Chennai, sent multiple letters to the Customs authorities requesting compliance with the CESTAT order. However, there was no response from the authorities, leading the petitioner to seek a writ of mandamus to compel the implementation of the CESTAT order for the provisional release of goods covered under specific Bill of Entry numbers.Issue 3: Statutory right of filing an appeal under the Customs ActThe respondents, represented by the senior standing counsel for Customs, indicated their intention to file an appeal against the CESTAT order. The statutory appeal period under the Customs Act is six months, and the department received a copy of the CESTAT order on 12.06.2018, thereby having the right to appeal within the stipulated timeline.Issue 4: Mandamus to curtail statutory appeal rightsThe writ Court acknowledged the statutory right of the respondents to file an appeal under the Customs Act and emphasized that mandamus cannot curtail this right. Despite the petitioner's request for provisional release, the Court highlighted the importance of allowing the respondents to exercise their statutory appeal rights within the prescribed timeframe.Issue 5: Timely filing of statutory appeal and implementation of CESTAT orderConsidering the balance between the petitioner's entitlement to provisional release and the respondent's right to appeal, the Court directed the respondents to file the statutory appeal within two weeks. Failure to do so would result in the implementation of the CESTAT order for provisional release of goods. This decision aimed to ensure that the petitioner did not suffer undue delays pending the statutory appeal process under Section 130 of the Customs Act.This detailed analysis of the judgment highlights the key issues, legal considerations, and the Court's decision regarding the implementation of the CESTAT order and the statutory appeal rights of the parties involved.