In a recent case, the Allahabad High Court has held that the limitations prescribed under special statutes, such as the Finance Act, 1994 will prevail over the limitations mentioned in the Limitation Act, 1963.
M/S S Kumar Construction, the petitioner challenged the order passed by the Commissioner of Central Excise ( Appeals ), Noida under Section 85 of the Finance Act, 1994 ( hereinafter referred to as the ‘Finance Act’ ). The Appellate Authority dismissed the petitioner’s appeal under Section 85 of the Finance Act, 1994 on the ground that it was time-barred having been filed with a delay of more than 85 days.
During the proceedings, the petitioner admitted that he had received the original order on 17.01.2023. However, it was contended that the delay in filing the appeal was due to the ignorant behaviour of his previous counsel and a medical emergency suffered by the petitioner.
Counsel for petitioner, Rajneesh Shukla relied on Jai Hind Bottling Company(P) Ltd. v. Commissioner (Appeals) Central Excise, where Allahabad High Court held that the writ court had the power to condone the delay in filing an appeal. Further reliance was placed on Pioneer Corporation v. Union of India wherein the Supreme Court had similarly held that in exceptional circumstances and the rarest of cases, the writ court had the power to condone the delay in filing an appeal.
It was viewed by the court that the appellate authority only had the power to entertain a delay of 30 days beyond the stipulated limit of 60 days. It was further held that in the absence of any clause condoning the delay by showing sufficient cause after the prescribed period, there would be a complete exclusion of Section 5 of the Limitation Act.
It was held that the power of Section 5 of the Limitation Act which stated that any appeal or application other than those under provisions of Order XXI of the Code of Civil Procedure, may be admitted after the prescribed period on the satisfaction of the Court, would only be available if it were extended to a special statute.
While dismissing the appeal, the single bench of Justice Shekhar B. Saraf. held that the rationale underlying this principle is rooted in the notion that the legislature, in enacting a special statute, intends to provide a comprehensive and exhaustive regime governing all aspects of the relevant legal domain. Section 85 of the Finance Act, 1994 provides 3 months for filing appeals before the Commissioner of Central Excise (Appeals).
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