The Central Board of Indirect Taxes and Customs (CBIC) noticed the guidelines regarding procedures to be followed during the Search Operation.
The CBIC noticed wherein proper procedures have apparently not been followed during search proceedings and the Panchnamas statements have not been recorded as per extant guidelines and instructions.
Such discrepancies weaken the judicial scrutiny of the case at a later stage. Accordingly, the instructions contained in the Central Excise Intelligence and Investigation Manual (2004), which hold good even in the GST regime, are reiterated for compliance by DGGI or filed formations.
Section 67 of the Central Goods and Services Tax Act, 2017 contains the provisions for search. Similar provisions are contained in Section 18 of the Central Excise Act, 1944. These provisions prescribe that all the searches be carried out in accordance with the provisions of the Code of Criminal Procedure, 1973.
The Board prescribed that the officer issuing authorization for search should have valid and justifiable reasons for authorizing a search, which shall be duly recorded in the file Search should be carried out only with a proper warch authorization issued by the Competent Authority.
The instructions related to the generation of DIN for each search authorization shall be scrupulously followed by the officer authorizing the search.
The premises of a person cannot be searched on the authority of a search warrant issued for the premises of some other person. Where a search warrant, through oversight, has been issued in the name of a person who is already dead, the authorized officer should report to the Competent Authority and get a fresh warrant issued in the names of the legal heirs.
In case of search of a residence, a lady officer shall necessarily be part of the search team.
The person from whose custody any documents are seized may be allowed to make copies thereof or take extracts therefrom for which she may be provided a suitable time and place to take such copies or extract therefrom. However, if it is felt that providing such copies or extracts therefrom prejudicially affect the investigation, the officer may not provide such copies. If such a request for taking copies is made during the course of the search, the same may be incorporated in Panchnama, intimating the place and time to make such copies.
The officer authorized to search the premises must sign each page of the Panchnama and annexures. A copy of the Punchnama along with all its annexures should be given to the person in-charge of the premises being searched and acknowledgement in this regard may be taken, if the person in charge refuses to sign the Panchnama, the same may he pasted in a conspicuous place of the premises, in presence of the witnesses, Photograph of the Punchnama pasted on the premises may be kept on record.
In case any statement is recorded during the search, cach page of the statement must be signed by the person whose statement is being recorded. Each page of the statement must also be signed by the officer recording the statement as before me
After the search is over, the search authorization duly executed should be returned to the officer who had issued the said search authorization with a report regarding the outcome of the search. The names of the officers who had participated in the search should be written on the reverse of the search authorization. If search authorization could not be executed due to any reason, the same should be mentioned in the reverse of the search authorization and a copy of the same may be kept in the case file before returning the same to the officer who had issued the said search authorization. The officers should leave the premises immediately after completion of XV) Panchnama proceedings.
During the prevalent COVID-19 pandemic situation, it is imperative to take precautionary measures such as maintaining proper social distancing norms, use of masks and hand sanitizers, etc. The search team should take all measures as contained in the guidelines of the Ministry of Home Affairs. and Ministry of Health & Family Welfare, and also the guidelines issued by the State Government from time to time.
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan AdFree. We welcome your comments at info@taxscan.in
