TaxTMI 
TaxTMI 
2007 (11) TMI 461
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....ation is for out-of-turn disposal of the appeal filed by the CHA. After examining the records and hearing both sides, we arc of the view that the appeal can be finally disposed of at this stage. According, after allowing the application for out-of-turn disposal of appeal but dismissing the stay application, we proceed to deal with the appeal. 2. M/s. Ganesh Shipping Agency, a Partnership Firm with Shri A.V. Ranga Rao as Managing Partner and Shri V.K. Abdul Gafoor as Power-of-Attorney holder, is a Customs House Agent holding Licence No. R-238/CHA granted by the Commissioner of Customs, Visakhapatnam. They were also permitted to undertake CHA business by the Commissioner of Customs, Chennai within the area of jurisdiction of the latte....
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....ation 20(1) on the ground of non-compliance with the obligations set out under CHALR, 2004. Learned counsel further submits that the Commissioner of Customs, Chennai is not competent to suspend the operation of a CHA licence issued by another Commissioner (Commissioner of Customs, Visakhapatnam). It is also pointed out that no show cause notice has been issued so far to the exporter, nor any enquiry is under way against them. In any case, according to learned counsel, no urgency or immediacy has been established in the impugned order for suspension of operation of the licence. In this connection reliance is placed on the following decisions :- 1. East West Freight Carriers (P) Ltd. v. Collector of Customs, M....
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....(f) of CHALR, 2004. On this basis, he concluded that the CHA was liable to be punished by way of revocation of the licence and/or forfeiture of the security deposited by them, in terms of Regulation 20(1). Regulation 20(1) authorised the Commissioner to revoke CHA licence and order for forfeiture of security deposit, subject to the provisions of Regulation 22, on certain grounds specified under sub-regulation (1). One of these grounds is "failure of CHA to comply with any of the provisions of CHALR within the jurisdiction of the Commissioner or elsewhere". The Commissioner of Customs, Chennai noted this ground and took the view that the licence was liable to be revoked and the security deposit liable to be forfeited. However, in the o....
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....the CESTAT that in all cases of suspension the procedure under Regulation 22(1) ought to have been followed in the sense prior notice before suspension ought to be given, cannot be sustained. A bare reading of Regulation 20(2) very clearly indicates that where immediate action is necessary the Commissioner of Customs has been granted such a power to suspend such licence where an enquiry against such agent is pending or even contemplated. Accordingly, we answer the aforesaid question of law to the effect that it is not mandatory that in all cases of suspension, Regulation 22 (1) ought to be followed. Whereas in cases where immediate action is necessary the Commissioner of Customs is fully empowered to suspend the licence where an enquiry aga....