In a recent case, the Delhi bench of the Customs, Excise & Service Tax Appellate Tribunal ( CESTAT ) set aside the order revoking Customs Broker License as the Show cause notice ( SCN ) failed to State allegations in respect of violation of Customs Brokers Licensing Regulations 2013 ( CBLR Rules ).
M/S Uniclear Logistics Pvt Ltd, the appellant challenged the order passed by the Commissioner of Customs (Airport & General), New Delhi revoking the Customs Broker License issued to the appellant and directing forfeiture of the security deposit and also imposing penalty of Rs. 50,000/- has been assailed in this appeal that has been filed by M/s. Uniclear Logistics Pvt Ltd.
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It was found that the show cause notice does not even make an attempt to state the allegations concerning the four regulations that have been alleged to be violated. It has been left to the wisdom of the appellant to decipher from the order reproduced in paragraph 3 of the show cause notice as to what are the allegations that can be culled out against the appellant in respect of the four alleged violations of the 2013 Regulations.
It was imperative for the officer issuing the show cause notice to precisely spell out the allegations pertaining to the regulations of which violation has been alleged.
It was viewed that substance in the submission advanced by Shri B. Bhushan, learned counsel appearing for the appellant that the impugned order should be set aside for this sole reason, as the show cause notice does not even state the allegations in respect of violation of the four regulations under the 2013 Regulations.
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A two member bench of Justice Dilip Gupta, President and P. V. Subba Rao, Member ( Technical ) viewed that the impugned order passed by the Commissioner deserves to be set aside for the sole reason that the show cause the 2018 Regulations notice, which is the foundation of the order, is absolutely vague and does not even state the allegations in respect of the four violations.
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