Tribunal grants appeal, faults Department for lack of personal hearing & show-cause notice.

The Tribunal allowed the appeal, setting aside the order remanding the matter to the adjudicating authority. It found the Department's failure to grant a personal hearing and rejecting the refund application without a show-cause notice legally unsustainable. Emphasizing the Department's duty to comply with appellate orders and issue show-cause notices before rejecting refund applications, the Tribunal granted the appeal with any consequential relief, acknowledging the appellant's efforts to seek compliance with the Commissioner's directions.

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Issues:
- Appeal against order remanding the matter to adjudicating authority.
- Delay in granting personal hearing by Department.
- Rejection of refund application as time-barred without show-cause notice.

Analysis:
- The appeal was filed against an order remanding the matter to the adjudicating authority by the Commissioner (Appeals). The appellant, engaged in Mining, Construction, and Transportation Services, received a demand notice for service tax. The appellant deposited a reduced amount after an Order-in-Original and filed an appeal. Despite repeated requests, the Department did not grant a personal hearing, leading to delays. The appellant later sought a refund, which was rejected as time-barred by the Assistant Commissioner. The Commissioner remanded the case back to the adjudicating authority, prompting the present appeal.

- The appellant argued that the impugned order was unsustainable due to the Department's negligence in not fixing a personal hearing or determining the refund amount. The appellant cited instances of Departmental Officers passing responsibility and delaying proceedings for four years. The appellant contended that the refund application rejection without a show-cause notice was against the law. Legal precedents were cited to support the appellant's arguments, emphasizing the Department's duty to refund excess amounts post-appeal conclusion.

- The Tribunal, after hearing both parties and reviewing the records, noted the Commissioner (Appeals) had granted cum-tax benefit and dropped the penalty, directing proper verification by the jurisdictional officer. The Tribunal observed the Department's failure to comply with the Commissioner's directions, leading the appellant to file a refund application based on their own calculations. The rejection of the refund application without a show-cause notice was deemed legally untenable. Relying on legal precedents, the Tribunal set aside the impugned order, allowing the appeal with any consequential relief.

- The Tribunal's decision highlighted the Department's obligation to follow appellate orders, conduct proper verifications, and issue show-cause notices before rejecting refund applications. The appellant's persistence in seeking compliance with the Commissioner's directions was acknowledged, leading to the appeal's success based on legal principles and precedents cited during the proceedings.

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