Court stays proceedings over show cause notice issued without consultation as per Circular No.1053/2/2017-CX.

The court stayed proceedings related to an impugned show cause notice issued without consultation as required by Circular No.1053/2/2017-CX. The petitioner's request for time to prepare a response was granted, emphasizing the importance of procedural fairness and consultation before issuing show cause notices. The court's decision highlighted the need for adherence to circular guidelines to provide a fair opportunity for the noticee to respond adequately.

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Issues involved:
Violation of Circular No.1053/2/2017-CX regarding consultation before issuing show cause notice.

Analysis:
The petitioner's advocate highlighted the issuance of a pre-show cause notice followed by an immediate impugned show cause notice, contrary to Circular No.1053/2/2017-CX. The petitioner requested reasonable time for preparation due to unavailability of a key individual. The court acknowledged the advocate's submissions and issued a notice returnable on 27th June, 2019. As an ad-interim relief, proceedings related to the impugned notice dated 12.4.2019 were stayed. Direct service was permitted concerning respondent No.2. The court's decision reflects a concern for adherence to procedural fairness and the principles outlined in the circular, emphasizing the importance of consultation before issuing show cause notices to ensure a fair opportunity for the noticee to respond adequately.

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