Delayed Show Cause notice by Customs — Is the Owner of goods still liable for redemption fine, penalty or interest? Delhi HC answers
The Court considered how the timing of a Show Cause Notice by Customs Department impacts the owner’s liability.
show-cause notice
Bombay HC upholds order passed by SBI, declaring accounts of Anil Ambani and Reliance Communication Ltd (RCOM) as ‘Fraud’
“Personal hearing cannot be demanded as a matter of right, unless specifically mandated by statute or rules. The principles of natural justice cannot be applied in a straitjacket formula; their application depends on the facts and circumstances of each case”
Read why Securities Appellate Tribunal granted relief to Naman Broadcasting in Sadhna Broadcast stock manipulation case
Naman Broadcasting amongst others was alleged to contravene the provisions of Securities and Exchange Board of India Act, 1992 by using digital platforms to mislead the investors. It was alleged that the price and volume of the scrip was manipulated through a coordinated scheme involving dissemination of misleading information and structured trades among connected entities.
‘CIC cannot express policy prescriptions under RTI Act’; Delhi HC quashes CIC’s order directing HPCL to furnish guidelines for empanelment of advocates
“The only question before CIC was whether ‘information’, as defined in Section 2(f) of the RTI Act has been denied mala fide, or incorrect, incomplete or misleading information has been knowingly furnished. The impugned order instead expresses policy prescriptions, which are beyond the remit of CIC.”
‘Adjudicating authority cannot go beyond show-cause notice’; CESTAT sets aside order demanding Countervailing Duty on areca nuts processing machines
“Adjudicating authority has travelled beyond the classification proposed in the show-cause notice by classifying the product under a classification which was neither claimed by the appellant nor was proposed in the said notice.”
Read why Bombay HC held that Article 24 of AIFTA did not deprive customs authorities to issue show cause notices
The petitioner, Purple Products, imported Tin Ingots manufactured from Malaysia, with a valid Certificate of Origin and based on such certification, it claimed and availed benefits under Customs Exemption Notification No. 46 of 2011, dated 1-6-2011, from time to time.
Pendency of Arbitration does not prevent stamp authorities from initiating proceedings; Show Cause notice not an adverse order affecting parties’ rights: Allahabad HC
“The right to know and to effectively respond to the charges has been recognized as a fundamental feature of any administrative adjudicatory process. It is a fundamental principle of fairness that a party should have prior notice of the case against him and an opportunity to properly respond to the same”
DRI Officers are “proper officers”; can issue show cause notices for recovery of duty under Customs Act: Supreme Court
The Court noted that the 2021 decision was rendered without taking note of the relevant statutory scheme under Customs Act, 1962 and government circulars and notifications issued which empowered the officers of Directorate of Revenue Intelligence (DRI) to issue show cause notices.
Delhi High Court directs Disclosure of Forensic Audit Report on Show Cause Notices by IDBI Bank
A forensic audit was conducted by Grant Thornton LLP at the request of the respondent-bank. The audit led to the withdrawal of the ‘red flagging’ of the company’s account.
MP High Court denies Writ of Mandamus to restrain authority from taking coercive actions based on alleged ‘illegal’ stop-construction interim direction
The Court held that a writ petition against a show-cause notice is generally not maintainable, as established in Union of India v. Kunisetty Satyanarayana, (2006) 12 SCC 28.
Delhi High Court sets aside order cancelling GST registration of alleged Non-Existent Entity; directs entity to respond within 4 weeks
The Court stated that since the only allegation against the entity was that it was found to be non-existent, it was at liberty to furnish documents and material to support its contention that it continues to be a valid tax entity.
Delhi High Court directs State Bank of India to provide all documents forming basis of the Show Cause Notices issued to Educomp Solution
The Delhi High Court emphasised that if the relevant documents are not provided to a party, the whole procedure of issuance of Show Cause Notice would be reduced to an empty formality.
Delhi High Court issues show cause to advocate for writing derogatory comments in chat box during virtual hearing
The petitioner, a practicing advocate, who was expected to maintain decorum placed comments in the chat box during the proceedings via video conferencing against the sitting judge and the proceedings being taken up by the Court.
Telangana High Court directs Delhi Police not to take any coercive action in alleged doctored video of Union Minister Amit Shah’s case
The High Court found the cause of action to be untenable as the petitioners were already accused in a similar case.
Supreme Court issues show cause notice to two NCDRC members for issuing non-bailable warrants despite SC’s interim protection
By the interim order, the Supreme Court had restrained the NCDRC from taking any coercive steps against Ireo Grace Realtech
‘Mere mockery of the principles of natural justice and fair play’; Delhi High Court sets aside order expelling JNU student in 2011
“The opportunity to the petitioner to file a reply to the show cause notice was therefore a mere eye wash, and nothing more.”
NCLAT affirms Committee of Creditors’ authority to opt for liquidation under Section 33(2) of the IBC; sets aside show cause notice
The NCLAT held that the CoC had the jurisdiction to decide on liquidation as per Section 33(2) and its explanation, even before completing all steps for resolution.
Truck is a capital asset of transporter utilised for generating income, seizure without show cause notice violates civil rights: Allahabad HC
Allahabad High Court noted that the penalty order does not appear to bring out any conduct of the petitioner as may indicate or establish collusion between the petitioner and the importing dealer.
Reflections on Criticality of Show-Cause Notice in Tax Laws
by Tarun Jain†
Cite as: 2023 SCC OnLine Blog Exp 80
‘Blacklisting Orders passed for an indefinite period not permissible under law’: Allahabad HC sets out contents for notice
“The notice is required to state the grounds necessitating the action and the penalty proposed specifically and unambiguously and is also required to adhere to the principles of natural justice”