Dabur India Ltd. Vs. Commissioner of C. Ex. - Court Judgment

Excerpt:
1. the challenge in this appeal of the assessee is against the order of the commissioner, central excise, meerut dated 17-1-2001. one of grounds in the memo, of appeal is that the order was passed ex-parte without observing the principles of natural justice. the appellant would submit that there was no fair hearing granted by the commissioner. the appellant's manager shri r.k. sharma had met with an accident on 31-12-2000 and therefore, he was not in a position to assist their counsel for the hearing on 3-1-2001. this fact was brought to the notice of the commissioner vide letter dated 2-1-2001 when an adjournment was sought. the commissioner declined the request for the reason that during the investigation period the party had not properly co-operated with the department. according to the commissioner the request could not be accepted because there was no medical certificate with the application for adjournment.2. after hearing both sides we feel that a further opportunity should be given to the appellant. posting on 3-1-2001 was the first effective posting and show cause notice was dated 4-8-2000. under these circumstances the commissioner could have granted a further opportunity to the appellant by adjourning the matter for a few days.3. in the light of the above we set aside the order impugned and remand the matter for fresh hearing by the commissioner. it is agreed by the appellant that the amount deposited by them, pursuant to the interlocutory order passed by this tribunal, can be retained by the department till the matter is finally disposed of. we direct the commissioner to hear the appeal within a period of two months after giving a notice at least one month before the date of hearing. we make it clear that any observation made in the interlocutory order on the merits of the case will not be binding on the commissioner. the appeal is allowed by way of remand.

Judgment:
1. The Challenge in this appeal of the assessee is against the order of the Commissioner, Central Excise, Meerut dated 17-1-2001. One of grounds in the Memo, of appeal is that the Order was passed ex-parte without observing the principles of natural justice. The appellant would submit that there was no fair hearing granted by the Commissioner. The appellant's Manager Shri R.K. Sharma had met with an accident on 31-12-2000 and therefore, he was not in a position to assist their Counsel for the hearing on 3-1-2001. This fact was brought to the notice of the Commissioner vide letter dated 2-1-2001 when an adjournment was sought. The Commissioner declined the request for the reason that during the investigation period the party had not properly co-operated with the Department. According to the Commissioner the request could not be accepted because there was no Medical Certificate with the application for adjournment.

2. After hearing both sides we feel that a further opportunity should be given to the appellant. Posting on 3-1-2001 was the first effective posting and show cause notice was dated 4-8-2000. Under these circumstances the Commissioner could have granted a further opportunity to the appellant by adjourning the matter for a few days.

3. In the light of the above we set aside the order impugned and remand the matter for fresh hearing by the Commissioner. It is agreed by the appellant that the amount deposited by them, pursuant to the interlocutory order passed by this Tribunal, can be retained by the Department till the matter is finally disposed of. We direct the Commissioner to hear the appeal within a period of two months after giving a notice at least one month before the date of hearing. We make it clear that any observation made in the interlocutory order on the merits of the case will not be binding on the Commissioner. The appeal is allowed by way of remand.