No Explicit Findings that CHA Abetted in Contravening Provisions of Customs Act: CESTAT quashes Revocation of Licence [Read Order]

The Customs, Excise and Service Tax Appellate Tribunal (CESTAT), Hyderabad Bench quashed the revocation of licence as no explicit findings was made that the Customs House Agent (CHA) abetted in contravening provisions of the Customs Act.

The Counsel appearing on behalf of the appellant submitted that the appellant, a Customs House Agent is agitated by the order passed by the Adjudicating Authority wherein he has enforced the security of Rupees ten thousand as bank guarantee and the license was also revoked.

The Counsel further submitted that the adjudicating authority has not rebutted any of the submissions made in their reply and has not given any finding as to why the submissions made by the appellant are not acceptable to him. Therefore, the order passed is to be termed as non-speaking order.

The Authorised Representative for the Revenue submitted that the appellant had contravened the provisions knowingly and the adjudicating authority has correctly revoked the license and also appropriated the bank guarantee. Therefore, the Authorised Representative submitted that the appeal is liable to be dismissed.

The Coram comprising R Muralidhar, Judicial Member and AK Jyotishi, Technical Member observed that “The Adjudicating Authority has simply reiterated that detailed inquiry conducted by the Officer and that the contraventions are clearly coming out in the Inquiry Officer’s Report and after this he has proceeded to go ahead with confirming the demand.”

The Bench also noted that while deciding the issue as to whether the present Appellant is liable to be penalised under Section 114 of the Customs Act, the Tribunal has come to a conclusion that no explicit findings have been given by the other adjudicating authority to the effect that the present Appellant has abetted in contravening any provisions of Customs Act. The Bench also found that the revocation of license in the present case is a very harsh measure.

To Read the full text of the Order CLICK HERE

Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates