Natural justice in adjudication: ex parte order set aside where genuine adjournment request was ignored.

An ex parte adjudication order passed despite a genuine request for adjournment was treated as a breach of natural justice. The request was supported by the closure of the unit and reference of the matter to the Board for Industrial and Financial Reconstruction, so the Commissioner should have granted adjournment. Because the appellants were denied an opportunity of hearing, the order could not stand. The ex parte order was set aside and the matter was remanded for de novo consideration on merits.

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Issues: Whether the adjudication order passed ex parte in the absence of the appellants, despite a request for adjournment, was liable to be set aside and the matter remanded for de novo consideration.

Analysis: The appellants had sought adjournment on the ground that the unit was closed and the matter had been referred to the Board for Industrial and Financial Reconstruction. The request was found to be genuine, and the Commissioner ought to have granted an adjournment. Since the case was decided ex parte, there was a clear violation of the principles of natural justice. In such circumstances, the matter required to be sent back for fresh consideration on merits.

Conclusion: The ex parte order was set aside and the matter was remanded to the Commissioner for de novo consideration.

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