2024 (1) TMI 837

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....alling foul of the Article 14 of the Constitution of India. The following table is relevant in this regard: S.No. W.P. No. Show Cause Notice Bill of Entry Order in Original 1 8597 of 2021 03.12.2020 16.04.2009 24.12.2020 2 8600 of 2021 06.01.2021 20.07.2011 20.01.2021 3 8602 of 2021 06.01.2021 14.06.2012 20.01.2021 2. Brief Facts: The petitioner is a private limited company incorporated under the Indian Companies Act, 1956 and carries on business as container owners/carriers and other shipping related activities/business. The petitioner as part of its business receives for export and import containers from and out of all ports in India for export and from and all ports outside India for import. The petitioner was a....

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.... Cause Notice. In view of the above unprecedented circumstance the petitioner was unable to reply to the show cause notice. The 2nd respondent proceeded to pass impugned orders dated 24.12.2020 and 20.01.2021 imposing penalty on the petitioner under Section 112 of the Act. 4. The petitioner has challenged the impugned order on the premise that the very initiation by issuance of show cause notices 9 to 11 years after the subject import is beyond reasonable period and thus arbitrary and illegal. 5. To the contrary it is submitted by the learned counsel for the respondent that there is an effective alternative remedy against the impugned orders by way of an statutory appeal under Section 128 of the Act. Though in the counter it is submitted ....

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....cise its jurisdiction within a reasonable period. What, however, shall be the reasonable period would depend upon the nature of the statute, rights and liabilities thereunder and other relevant factors." (ii) S.B. Gurbaksh Singh v. Union of India, reported in (1976) 2 SCC 181: "15.... It may well be that for an exercise of the suo moto power of revision also, the revisional authority has to initiate the proceeding within a reasonable time. Any unreasonable delay in exercise may affect its validity. What is a reasonable time, however, will depend upon the facts of each case." 10. Thus any proceeding initiated or completed after a reasonable period would suffer from the vice of arbitrariness thereby falling foul of Article 14 of the Cons....

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....not prescribe a period of limitation for passing an order of adjudication, the law is well settled that anything in respect of which no period of limitation is prescribed, should be done at least within a reasonable time. What is reasonable time, would depend upon the facts and circumstances of each case. In cases of this nature, where the weight of the cargo discharged by the vessel of a Steamer Agent is questioned, it is not possible for a Steamer Agent to defend themselves against the show cause notice long after the vessel had sailed. Therefore, the third question of law is also be answered in favour of the appellant." (ii) J.Sheik Parith Vs. Commissioner of Customs and another reported in 2020 (374) E.L.T. 15 (Mad.): "23. In Premie....