Tribunal raps Excise for CAG’s objection
When AG raises an objection, the department is required to issue a Show Cause Notice immediately and many departmental officers promptly confirm the demand to be on the safe side and these cases reach the Tribunal where the department often has to face ridicule as the case looks silly and they cannot say that the notice originated because of an Audit objection. Maybe the AGs should be empowered as Central Excise officers to issue SCNs and given the responsibility of defending the case at all appellate stages. In DDT 111, we had mentioned about a major objection by the CAG against oil companies. One such case was decided by Tribunal recently – No prizes for guessing- the AG lost and the department lost face! Please see our story in Breaking News.