Case Law Details
Supreme Industries Ltd. Vs CBIC & Ors. (Bombay High Court)
The issue under consideration is whether the order passed by the custom officer against the self assessment done by petitioner without stating any specific reason is sustainable in law?
High Court states that, the adjudication order must be a speaking order. A speaking order is an order that speaks for itself. A good adjudication order is expected to stand the test of legality, fairness and reasons at higher appellate forums. Such order should contain all the details of the issue, clear findings and a reasoned order. Where any re-assessment done under sub-section (4) is contrary to the self-assessment done by the importer or exporter regarding valuation of goods, classification, exemption or concessions of duty availed consequent to any notification issued thereof under this Act and in cases other than those where the importer or exporter, as the case may be, confirms his acceptance of the said re-assessment, within fifteen days from the date of re-assessment of the bill of entry or the shipping bill, as the case may be. It has been observed that officers exercising the powers under the above mentioned sub-section are not issuing a speaking order in each and every case particularly where the importer or exporter, as the case may be, does not confirm his acceptance of the re-assessment. It may be appreciated that an importer or an exporter has an inalienable right to know the reasons for loading of value, change of classification, any decision regarding entitlement to an exemption notification etc. Omission to issue speaking orders in matters of re-assessment, may not prejudicially affect the right of the importer or exporter to appeal as such, but nevertheless deprives him of knowing the grounds of such re-assessment. At the same time, any such re-assessment without the support of a speaking order could be perceived as legally questionable. Time and again, courts have frowned upon the instances of non-issuance of speaking orders under the said subsection. In view of the above discussion and the circumstances of the case, HC are left with no choice but to set aside the order.
FULL TEXT OF THE HIGH COURT ORDER /JUDGEMENT
Heard. Rule. Rule made returnable made forthwith. With the consent of the learned Counsel for the parties, this Writ Petition is being heard finally.
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