2024 (5) TMI 1427 - HC - Central Excise

Prosecution Quashed Under Sabka Vishwas Scheme 2019 for Compliance; Court Emphasizes Justice and Fairness in Acquittal.

M/s Him Cylinders Ltd. & Anr. Versus Central Excise and Customs Department

M/s Him Cylinders Ltd. & Anr. Versus Central Excise and Customs Department - TMI Issues:1. Quashing of prosecution under the Sabka Vishwas Scheme2. Compliance with the SVLDRS-2019 by the accused3. Approval for withdrawal of prosecution by the authorities4. Continuation of prosecution despite remittance of liability5. Burden on the trial court docket and purpose of criminal justice systemAnalysis:1. The central issue in this case was the quashing of prosecution under the Sabka Vishwas [Legacy Dispute Resolution] Scheme, 2019. The respondent-complainant had filed a complaint against the petitioners-accused for excise liability. However, the accused had deposited the liability under the Scheme, and both parties acknowledged this fact. The court was inclined to quash the prosecution considering the settlement of the liability and the purpose of the Scheme.2. The accused had complied with the SVLDRS-2019 by depositing the liability, as confirmed by communication and a No Dues-Discharge Certificate issued by the respondent department. The court noted that the accused had fulfilled their obligations under the Scheme, leading to the request for quashing the prosecution.3. Authorities had given approval for the withdrawal of prosecution against the accused, further supporting the request for quashing. Despite a pending application for withdrawal, the court emphasized that the remittance of liability and approval for withdrawal were significant factors in deciding to quash the prosecution.4. The court highlighted that continuing the prosecution when the liability had been remitted and the approval for withdrawal granted would serve no useful purpose. The accused had settled the liability under the Scheme, making the prosecution obsolete. Continuing the prosecution would burden the trial court docket and cause unwarranted suffering to the accused, contrary to the criminal justice system's objectives.5. Considering the circumstances and the purpose of the Sabka Vishwas Scheme, the court quashed the complaint against the accused, leading to their acquittal. The judgment aimed to alleviate the accused from unnecessary prosecution, recognizing the settlement of the liability and the impracticality of continuing the case. The decision was made to uphold the principles of justice and fairness in light of the Scheme's provisions.