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Issues: (i) Whether a duty liability, if lawfully incurred by the deceased licensee, ceased on his death. (ii) Whether the demand could be sustained against the respondent without notice to the legal heirs of the deceased licensee, and whether the matter required de novo consideration.
Issue (i): Whether a duty liability, if lawfully incurred by the deceased licensee, ceased on his death.
Analysis: A fiscal liability already incurred does not abate merely because the person liable dies. If the duty liability is legally established as having arisen during the relevant period, it can attach to the estate of the deceased.
Conclusion: The liability did not cease on death and the deceased's estate remained liable, if such liability was otherwise legally determined.
Issue (ii): Whether the demand could be sustained against the respondent without notice to the legal heirs of the deceased licensee, and whether the matter required de novo consideration.
Analysis: The notice and the reply raised the specific objection that the respondent was not the licensee during the relevant period and that the notice against him was invalid after the licensee's death. That objection had not been dealt with by the authorities below. In these circumstances, the proper course was to proceed against the legal heirs, if so advised, and to reconsider the matter afresh.
Conclusion: The existing orders were set aside and the matter was remanded for de novo proceedings after notice to the legal heirs, if so advised.
Final Conclusion: The Department's challenge succeeded to the extent that the earlier orders were annulled and the duty demand was sent back for fresh adjudication against the proper persons.
Ratio Decidendi: A pre-existing fiscal liability survives the death of the liable person and may be enforced against the estate, but proceedings must be taken against the correct legal representative or estate holder through proper notice and fresh adjudication.
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