Case Law Details
Patanjali Foods Limited Vs Commissioner of Customs (CESTAT Bangalore)
Introduction: This article examines the ramifications of the National Company Law Tribunal’s (NCLT) resolution plan approval on the jurisdiction of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) in the case of Patanjali Foods Ltd. vs. Commissioner of Customs.
Detailed Analysis: The appeal arises from Order-in-Original No.1/2012-Commr. dated 31.7.2012 by the Commissioner of Customs, Mangalore. Patanjali Foods Ltd. filed the appeal under Section 129A of the Customs Act, 1962, challenging the Commissioner’s decision.
During the appeal, Standard Chartered Bank initiated Corporate Insolvency Resolution Process (CIRP) against Patanjali Foods Ltd. under the Insolvency and Bankruptcy Code, 2016 (IBC). The NCLT approved the resolution plan on 24.07.2019, prompting the appellant to file a miscellaneous application before CESTAT.
The issue revolves around whether the appellant can continue with the appeal post the NCLT’s resolution plan approval. The learned Authorized Representative for the Revenue contends that, as per Rule 22 of CESTAT (Procedure) Rules, 1982, the appeal abates after NCLT’s approval of the resolution plan.
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