In a landmark ruling, the two-judge bench of the Supreme Court categorically held that the order of the CESTAT would become final if the same was passed by considering all material facts.
While refusing to admit an appeal preferred by M/s steel Authority of India Ltd, the Apex Court, last day laid down the following conditions which must be followed by it while admitting an appeal from the Customs Excise and Service Tax Appellate Tribunal (CESTAT) under Section 130E(b) of the Customs Act;
(i) The question raised or arising must have a direct and/or proximate nexus to the question of determination of the applicable rate of duty or to the determination of the value of the goods for the purposes of assessment of duty. This is a sine qua non for the admission of the appeal before this Court under Section 130E(b) of the Act.
(ii) The question raised must involve a substantial question of law which has not been answered or, on which, there is a conflict of decisions necessitating a resolution.
(iii)If the tribunal, on consideration of the material and relevant facts, had arrived at a conclusion which is a possible conclusion, the same must be allowed to rest even if the Apex Court is inclined to take another view of the matter.
(iv) The tribunal had acted in gross violation of the procedure or principles of natural justice occasioning a failure of justice.
“The above parameters, which by no means should be considered to be exhaustive, may now be applied to the case of the parties before us to decide the primary question indicated at the outset of the present order, namely, whether this appeal deserves to be admitted,”the bench said.
Dismissing the appeal, Justice Ranjan Gogoi and Justice Ashok Bhushan observed that the appeal has been dismissed by the CESTAT on due consideration of all relevant materials on record. “If that is so, on the ratio of the decision of this Court in the case of Swastic Woollen (supra) we will have no occasion to have a re-look into the matter in the exercise of our appellate jurisdiction under Section 130E(b) of the Act.”
Read the full text of the Judgment below.
