Tribunal dismisses Revenue's application, orders deposit to PM Relief Fund, warns against frivolous litigation

The Tribunal dismissed the Revenue's miscellaneous application seeking rectification of a mistake in the order, restoration of an appeal dismissed by withdrawal, and imposition of cost on the erring officer for filing frivolous applications. The Tribunal found misleading information in the application, highlighting the need to avoid multiplicity of litigation. Expressing displeasure at the frivolous nature of the application, the Tribunal directed the Commissioner Central GST, Pune-I, to deposit a sum into the Prime Minister's Relief Fund and instructed administrative measures to deter such unwarranted applications. Compliance was required by a specified date.

---

---

Issues Involved:
1. Rectification of mistake in the Tribunal's order
2. Restoration of an appeal dismissed by withdrawal
3. Misleading information in the miscellaneous application
4. Imposition of cost on the erring officer for filing frivolous application

Issue 1: Rectification of mistake in the Tribunal's order
The Revenue filed a miscellaneous application seeking rectification of a mistake in the Tribunal's order dated 28.9.2018. The application highlighted that the Tribunal had allocated one Appeal No. E/86987/2016 against two orders-in-original involving different amounts. The Revenue contended that the error was due to the fact that only one appeal number was allotted by the Tribunal, leading to confusion regarding the amounts involved in each appeal.

Issue 2: Restoration of an appeal dismissed by withdrawal
The Revenue had initially filed a miscellaneous application for the withdrawal of seventeen appeals, including Appeal No. E/86987/2016, citing that the amounts involved in each appeal were less than Rs. 20.00 lakhs as per the litigation policy circular issued by the Board. Consequently, the Tribunal dismissed the appeals, including E/86987/2016, as withdrawn. However, in a subsequent miscellaneous application, the Revenue sought to restore E/86987/2016, clarifying that the withdrawal was intended only for an amount of Rs. 14,28,748, not the larger amount of Rs. 50,49,547.

Issue 3: Misleading information in the miscellaneous application
During the hearing, it was revealed that the Revenue had actually filed two appeals arising from the same order-in-appeal, challenging amounts of Rs. 14,28,748 and Rs. 50,49,547. The second appeal, E/86988/2016, was filed against the same order and was pending. The Tribunal found the information in the miscellaneous application to be misleading and incorrect, as it failed to acknowledge the existence of the second appeal. The Tribunal emphasized the need to avoid multiplicity of litigation and noted that the Revenue's application was infructuous.

Issue 4: Imposition of cost on the erring officer for filing frivolous application
The Tribunal expressed displeasure at the frivolous nature of the application and the negligent approach of the Commissionerate. The Tribunal highlighted that such applications hinder the pace of disposal of appeals and go against the objective of reducing litigation pendency. Consequently, the Commissioner Central GST, Pune-I, was directed to deposit Rs. 2000 into the Prime Minister's Relief Fund within four weeks. The amount was to be recovered from the salary of the erring officer. Additionally, the Tribunal instructed the Registry to inform the Chairman CBEC, New Delhi, and the concerned Chief Commissioner of Pune Commissionerate to deter the filing of such unwarranted applications. Compliance was to be reported by 30.05.2019.

In conclusion, the Tribunal dismissed the miscellaneous application as infructuous and emphasized the need to discourage the filing of frivolous and mindless applications through the imposition of costs and administrative measures.

---