Jurisdiction over Modvat credit notices: conflicting Tribunal rulings created a referenceable question of law, while rectification was refused.

Conflicting Tribunal decisions on the Assistant Commissioner's jurisdiction to adjudicate notices concerning disallowance of Modvat credit gave rise to a referenceable question of law, so the reference application was entertained and the legal issue was referred to the High Court. The Tribunal also found no mistake apparent from its earlier order, so rectification relief was refused.

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Issues: Whether a point of law arose for reference in view of conflicting Tribunal decisions on the jurisdiction of the Assistant Commissioner to adjudicate notices relating to disallowance of Modvat credit; and whether any mistake existed in the Tribunal's earlier order warranting rectification.

Analysis: The Tribunal noted that the reference application was founded on conflicting decisions concerning the adjudicatory power of the Assistant Commissioner in proceedings under the Modvat scheme. On that basis, it held that a legal question did arise for consideration and therefore the reference application deserved to be entertained. The Tribunal further examined the rectification request and found no mistake apparent in its earlier order.

Conclusion: A point of law was held to arise and the reference application was allowed. The rectification application was rejected.

Final Conclusion: The order resulted in a reference of the legal question to the High Court while declining rectification relief.

Ratio Decidendi: Where conflicting Tribunal decisions exist on a jurisdictional question, a point of law arises for reference, but rectification lies only if a mistake in the earlier order is shown.

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