2025 (9) TMI 1357 - SCH - Customs

Petitions challenging belated show-cause notices dismissed given similar assessees' prior relief, delay, laches and low tax effect

The SC dismissed the special leave petitions challenging belated show-cause notices, holding that similar assessees had been granted relief and such ... Maintainability of SLP - low tax effect - belated SCN - HELD THAT:- This Court in similar matters has granted relief to the similarly placed assessees by holding that the belated show cause notices cannot be adjudicated, on the principle of delay and laches. There are no reason to interfere in these matters - SLP dismissed. Delay in filing was condoned. Respondents argued the special leave petitions concern whether show cause notices issued in 2016 were belated and submitted that, on the principle of 'delay and laches', similar matters received relief because 'belated show cause notices cannot be adjudicated'; they also relied on the low tax effect. The impugned order's paragraph 38 is quoted: 'However, in the facts of the present case, there is one additional factor that impugned show cause notices were kept in 'call book' which was never informed to the petitioner and the show cause notices were not adjudicated for seven years and hence even if the show cause notices are issued within three years from date of shipping bill, the same would not be saved in view of inordinate delay for not adjudicating the same. Therefore, these petitions are allowed and the impugned show cause notices with all consequential actions are quashed and set aside. Rule is made absolute to the aforesaid extent. No order as to costs.' The Court declined to interfere; the Special Leave Petitions were dismissed and pending applications disposed of.