Non filing of appeal by revenue is not bar for serutiny in another case: CESTAT LB

By Vijay Kumar

THE Larger Bench of the CESTAT passed a landmark decision, in which it made some sacrosanct statements.

NON FILING OF APPEAL BY REVENUE IS NOT A BAR FOR SCRUTINY IN ANOTHER CASE:

Merely because in some cases revenue has not preferred appeal, that does not operate as a bar for the revenue to prefer an appeal in another case where there is just cause for doing so or it is in public interest to do so or for a pronouncement by the higher Court when divergent views are expressed by the Tribunals or the High Courts.

POLICY OF REFUND OF INPUT CREDIT IS REGULATED BY STATUTORY PROVISIONS:

A distinction between provisions of statute which are of substantive character and are built in with certain specific objectives of policy, on the one hand, and those which are merely procedural and technical in their nature, on the other, must be kept clearly distinguished. The doctrine of substantial compliance is a judicial invention, equitable in nature, designed to avoid hardship in cases where a party does all that can be reasonably expected of it, but failed or faulted in some minor or inconsequent aspects which cannot be described as the "essence" or the "substance" of the requirements.

COURTS HAVE TO DECIDE WHAT THE LAW IS BUT NOT WHAT IT SHOULD BE:

The court cannot rewrite the legislation for the reason that it had no power to legislate. The court cannot add words to a statute or read words into it which are not there. The court cannot, on an assumption that there is a defect or an omission in the words used by the legislature, correct or make up assumed deficiency, when the words are clear and unambiguous.

Incidentally, the Certified copy of the order states that the order has been signed by Justice R M S Khandeparkar, Mr. M Veeraiyan and Mr. D N Panda.

The last page of the order says, it has been signed by Justice R M S Khandeparkar, Dr. C. Satapathy and Mr. D N Panda.

Was Mr. Veeraiyan a Member of the Larger Bench?

We will bring you this case tomorrow.