M.F. (D.R.) Instruction [F.No. 1080/19/DLA/TECH/12/748],

Dated 19-9-2012

After going through several decisions of the Hon’ble Supreme Court and the nature of defects in relation to the appeals as pointed out by the Registry, certain common discrepancies/mistakes are noticed which are outlined below :

(i)  In case of party appeal, Vakalatnama is not sent immediately. In the absence of Vakalatnama, no advocate would appear before the Supreme Court if case is listed for any purpose.

(ii)  Vakalatnama is signed by an officer not of the rank of Commissioner.

(iii)  Vakalatnama, even when signed by the Commissioner, does not have his rubber stamp affixed.

(iv)  Proper format of Vakalatnama is not used.

(v)  Any Additional document has to be filed along with supporting Affidavit only.

(vi)  The officers in the field formations do not update themselves by regular visits to the Departmental & Supreme Court websites.

(vii)  The Department loses several cases on account of delay. Therefore, the officers are required to be sensitised to avoid delay at all cost. In fact, the Hon’ble Supreme Court has made very serious observation in this regard, in S.L.P. (C) Nos. 19986/2011 and 2007/2011 in the case of Director of I.T. International Taxation, Mumbai v. Citi Bank N.A. In this case, the Hon’ble Supreme Court has asked the Finance and Law Ministers to take appropriate action to avoid revenue leakage involving unexplained delay.

2. In the backdrop of the aforesaid scenario, it is also suggested that Sensitisation-cum-Awareness Program about Litigation matters pertaining to the Hon’ble Supreme Court may be initiated in each zone. The Directorate of Legal Affairs is being asked to take appropriate action to initiate training for the respective officers involved in preparation and filing of CA/SLP at the Zonal level. The officers concerned must attend such training and the schedule for organizing the same may be finalised immediately at the Zonal level, in consultations with the Directorate of Legal Affairs.

Procedural compliance in Supreme Court appeals: ensure correct vakalatnama, affidavits, and prompt filing to prevent delays. Procedural compliance failures in Supreme Court appeals-delayed or improperly executed Vakalatnama, absence of Commissioner stamping, incorrect format, and filing additional documents without supporting affidavits-have led to revenue risk and critical Supreme Court observations. To remedy these defects, the Directorate of Legal Affairs must organise zonal Sensitisation-cum-Awareness Programs and training for officers handling Curative Applications and Special Leave Petitions, with mandatory attendance and immediate scheduling at the zonal level to standardise practices and prevent delay.