Inordinate delay in adjudication of a show cause notice is fatal to its validity

Neelachal Ispat Nigam Ltd. Vs Union of India and others (Orissa High Court) Case Background Neelachal Ispat Nigam Limited (NINL), a joint venture company registered under the Companies Act, 1956, engaged in manufacturing pig iron, billets, coke, and crude tar, filed a writ petition challenging the validity of a demand-cum-show cause notice dated September 10, 2008. This notice was issued by the Central Excise Department, which claimed that NINL wrongly availed of Cenvat credit amounting to Rs. 39,17,30,118 after its merger with Konark Met Coke Limited (KMCL). KMCL, a manufacturer of metallurgi...