Tribunal power to recall ex parte orders on merits where sufficient cause for absence is shown and justice requires rehearing

Rule 41 of the CEGAT (Procedure) Rules, 1982 was construed as conferring broad procedural power on the Tribunal to recall and set aside an ex parte order passed on merits where sufficient cause for non-appearance is shown. The absence of an express recall provision in Rule 21 did not exclude that power, because the Tribunal may make orders necessary to prevent abuse of process and secure the ends of justice. Where the party's absence was not due to fault, refusal to recall would cause manifest injustice. The Tribunal may therefore restore the appeal for fresh hearing and disposal on merits.

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Issues: Whether the Customs, Excise and Gold (Control) Appellate Tribunal has power under Rule 41 of the CEGAT (Procedure) Rules, 1982 to recall or set aside an ex parte order passed on merits, and whether such power extends to restoring the appeal for rehearing where sufficient cause for non-appearance is shown.

Analysis: Rule 20 deals with dismissal for default, while Rule 21 enables ex parte hearing. The absence of an express provision in Rule 21 for recall of an ex parte order does not exclude such power where justice so requires. Rule 41 confers wide authority to make orders or give directions necessary or expedient to give effect to the Tribunal's orders, prevent abuse of process, and secure the ends of justice. Where a party establishes that its absence was for sufficient cause and not due to fault, refusing recall would result in manifest injustice. The Tribunal therefore has the power, and in a proper case the duty, to set aside the ex parte order and hear the appeal afresh.

Conclusion: The Tribunal can recall and set aside an ex parte order on merits if sufficient cause for non-appearance is shown, and may restore the appeal for fresh disposal.

Final Conclusion: The ex parte order of the Tribunal was rightly set aside and the appeal was restored for decision on merits.

Ratio Decidendi: A tribunal vested with power to secure the ends of justice may, in the absence of fault by the absent party and upon proof of sufficient cause, recall an ex parte order passed on merits and restore the matter for rehearing.

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