BHATIA & COMPANY Vs. UNION OF INDIA

JUDGEMENT

(1.) INSTANT bunch of petitions since involves common question, hence being decided by the present order. Instant petitions u/Art. 226 of the Constitution of India have been filed assailing the Circular dated 1 -1 -2013 of the Central Board of Excise and Customs (C.B.E. and C.) issuing certain directives to the concerned authorities for initiation of recovery proceedings against confirm demand while the proceedings remained pending before the appellate authorities in supersession of such circulars issued in this regard by the Department from time -to -time for its implementation with immediate effect.

(2.) THE assessees are basically aggrieved by the stipulation which has now been brought into force and the effect of which is that although the stay application has been filed along with the appeal is pending before the competent appellate authorities/CESTAT, recovery of such demand shall be proceeded on the expiry of stipulated period, however, in certain cases immediately.

(3.) THE contention of the counsel for the petitioner is that coercive methods could not be permitted for initiation of recovery proceedings pending stay applications and could not be disposed of due to unavailability of appellate authority and without any default on the part of the assessee and there is no such allegation that delay in disposal of stay application is attributed to the assessee petitioners and still if recovery is being permitted to be made in terms of the directives issued by the Department vide its Circular dated 11 -1 -2013 and the stay application remained pending on the file of the decision making authority it penalized the assessee for the situation over which the assessee has no control and such action in the guise of Circular dated 11 -1 -2013, would be treated to be arbitrary and violative of Art. 14 of the Constitution.