Case Law Details
Avshesh Kumar Vs Union Of India And 2 Others (Allahabad High Court)
Avshesh Kumar filed a writ petition challenging the adjudication order dated March 2023 passed by the Assistant Commissioner, Central Goods and Services Tax & Central Excise Division-Farrukhabad. The order imposed a demand of Rs. 15,64,083/- as tax, along with penalties under various sections of the Finance Act, 1994 and CGST Act, 2017.
The petitioner contested that the adjudication order was served on him only in March 2024, whereas the revenue authorities claimed to have dispatched notices via e-mail and speed post to the petitioner’s known address. The petitioner, however, denied receiving these notices and argued that he was not registered under the Central Excise Act or the Finance Act, 1994 for service tax purposes.
The central issue revolved around the procedure followed by the adjudicating authority, particularly concerning the scheduling of hearings. The petitioner argued that fixing three successive hearing dates within a span of seven days, without granting adjournments or issuing further notices, violated the principles of natural justice. Citing Section 33A of the Central Excise Act, 1994, which limits adjournments to three times during proceedings, the petitioner contended that such consecutive fixing of dates was prejudicial and did not afford reasonable opportunity for participation.
The petitioner relied on a decision of the Gujarat High Court in Regent Overseas P. Ltd. v. Union of India, which emphasized that the adjudicating authority cannot fix multiple hearing dates in advance without considering requests for adjournment on each occasion separately. The Gujarat High Court highlighted that such practice undermines the fairness of proceedings and constitutes a breach of natural justice.
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