Limits on review power and writ relief: cancellation of Modvat credit permission failed for want of statutory authority.

Cancellation of earlier Modvat credit permission by the same authority was treated as unsustainable because no express statutory power of review was shown, and such review jurisdiction cannot be assumed. The impugned cancellation was therefore described as without jurisdiction and patently illegal. Availability of an alternative appellate remedy was not treated as an absolute bar to writ relief where the challenged action was jurisdictionally defective. On that basis, the writ petition succeeded and the cancellation order was set aside.

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Issues: Whether the order cancelling the earlier permission for Modvat credit could be sustained when the authority had no express statutory power of review, and whether the writ petition should be rejected on the ground of availability of an alternative remedy.

Analysis: The permission had been granted earlier, but the subsequent cancellation was issued by the same authority without any shown provision conferring power to review its own order. In the absence of express statutory authorisation, the power of review cannot be assumed. The impugned order was therefore treated as one passed without jurisdiction and patently illegal. The existence of an appellate remedy was held not to be an absolute bar to writ relief, particularly where the impugned action was jurisdictionally defective.

Conclusion: The cancellation order was unsustainable and the writ petition succeeded.

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