2025 (12) TMI 1461

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....9 of 2019 - -<br>Central Excise<br>WMP.Nos. : 13718 of 2020, 27126 of 2021 and 2261 of 2022 Hon&#39;ble Dr. Justice Anita Sumanth And Hon&#39;ble Mr. Justice Mummineni Sudheer Kumar CASE NUMBER For the Appellant/Petitioner For the Respondent WA/2659/2023 Mr.M.A.Mudimannan Mr.Rajnish Pathiyil SSC WP/11253/2020 Mr.M.A.Mudimannan Mr.Su.Srinivasan SSC WA/2662/2021 Mr.M.A.Mudimannan Mr.K.Umesh Rao SSC WA/2664/2021 Mr.M.A.Mudimannan Mr.Rajnish Pathiyil SSC WP/3809/2019 Mr.M.A.Mudimannan Mr.M.Santhanaraman SSC WP/801/2019 Mr.M.A.Mudimannan Mr.Rajnish Pathiyil SSC WP/8792/2019 Mr.M.A.Mudimannan Mr.M.Santhanaraman SSC WA/2665/2021 Mr.M.A.Mudimannan Mr.Rajnish Pathiyi....

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..... Barring two Writ Appeals and two Writ Petitions, where the challenge is to Orders-in-original, in the other matters, the challenge is to show cause notices. 29 of the 30 matters relate to proceedings in the case of various Circles of the Tamil Nadu Generation and Distribution Corporation Limited (Tangedco) and the solitary instance involving a private entity is in W.A.No.613 of 2022. 2. We have heard all learned counsel in detail. The issue that arises in common across the Writ Appeals and Writ Petitions is whether pre-consultative process under the Central Excise Act is mandatory prior to issuance of show cause notice on the merits of the matter/passing of orders-in-original. 3. The parties refer to a decision of the Bombay High Co....

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....TR 78 (Mad.)] 10.Dharmashil Agencies V. Union of India [2022 96 GSTR 220] 11.Jay Mahakali Industrial Services V. Union of India [2025 (393) E.L.T. 28(Guj.)] 12.Hitachi Power Europe GMBH Project Office V. Central Board of Indirect Taxes and Customs and Ors. [2019 SCC OnLine MAD 4005] 13.Varalaxmi Construction Co. V. Union of India and Ors. 14.Brilliant Corporate Services Private Limited (now known as M/s. Brivas Private Limited) V. Commissioner of GST and Central Excise, Chennai. [(2022) 104 GSTR 296] 15.Ramnath Prasad V. Principal Commissioner of CGST and Central Excise Patna and Anr. [(2025) 144 GSTR 556] 16.Singh Caterers and Vendors V. Directorate General of GST Intelligence ....

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....every case. This requirement promotes an alternate dispute resolution process, which is now accepted as vital for the ease of doing business. During the pre-consultative process, it is possible that the department convinces the assessee or is itself convinced regarding the necessity or otherwise of raising tax demands or the quantum thereof. Such issues can always be resolved or at least seriously attempted to be resolved during the pre-consultative process. Even the Commercial Code mandates a pre-conciliation before proceedings are launched, and no urgent interim reliefs are claimed. For all the above reasons, we are satisfied that no case has been made out to persuade us to take any view that is inconsistent with our position in the case ....

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....td., (Foot Note Supra (2)) Special Leave Petition (Civil) Diary No (s). 35886 of 2019 had been filed by the Department. Notice had been issued on 04.11.2019, in the following terms: 'Delay condoned. Learned Additional Solicitor General submits that if a fresh show cause notice is to be issued as directed by the High Court after pre-consultation, the Department may be given liberty to revive the earlier show cause notice to obviate any objection in regard to limitation. Issue notice confined to the above issue, returnable in eight weeks'. 9. The conclusion of the Division Bench of the Delhi High Court holding pre-consultation to be mandatory has hence been affirmed by the Apex Court and it is solely in the context of lim....

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....ounsel for the Department draw our attention to Instruction in F.No.116/13/2020-CX-3 dated 11.11.2021, wherein the Board has issued a clarification in respect of Master Circular No.1053/02/2017-CX dated 10.03.2017, under which the pre-consultation process had been introduced. 12. The Board states that in cases where show cause notices/proceedings had been issued/completed for recovery of duties or taxes not levied or paid, or short levied or short paid, or erroneously refunded by reason of fraud, collusion, wilful mis-statement, suppression of facts or contravention of any of the provisions of the Central Excise Act, 1944 or Chapter V of the Finance Act, 1994 or connected rules, with an intent to evade payment of duties or taxes, then pr....