Punitive Action Should be Taken Against Authority who could not Rectify Clerical Error in Order on Time Leaving no option with Appellant but to go for Appellate Recourse: CESTAT

Customs, Excise, And Service Tax Appellate Tribunal (CESTAT) said that the disinclination on the part of the first appellate authority to consider rectification that does not compromise the intent of his order is inexplicable. It is certainly not the attitude expected of a senior functionary who is tasked with statutory empowerment to be discharged in a responsible and responsive manner.

In this matter, the hapless appellant was given gratuitous advice of appellate recourse to the Tribunal which is adding insult to injury. Heeding the advice, the assessee filed an appeal with the Tribunal with consequent expending of time and effort on the part of the Tribunal.

As per CESTAT this is a serious, and punitive, episode, which encouraged opening the floodgates of ‘upward delegation. The same is inimical to the public interest. The cost of Rs.5000, to be paid into the account of the Maharashtra Legal Aid Services Authority, is imposed on the officer concerned to be identified by the Commissioner of Customs (Appeals) upon due inquiry to fix responsibility for the lapse.

The Tribunal also added that though they are not entrusted with responsibility for rectification of ‘typographical/ clerical’ errors in orders of lower authorities, but cannot justify its existence within the judicial edifice in turning away an appellant, who is in conformity with the prescriptions of section 35B of Central Excise Act, 1944, from the portals of justice. Consequently, the matter is remanded back to the first appellate authority for correction of such errors as are to be rectified.

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