TIOL-DDT 2762 · Monday, 11 January 2016 · story 1 of 5

CESTAT Allahabad Bench - High Court Still Monitoring

23 12 2015 reported that the Revenue Secretary has been summoned by the Allahabad High Court on 05.01.2016. The Revenue Secretary did not attend but filed an affidavit. Affidavits were also filed by Mr. S. Bhowmick, Under Secretary, Department of Revenue, Registrar, CESTAT, Mr. Ajay Kumar Nema, Director, Head Quarters, Department of Revenue,Mr. Sanjay Rathi, Commissioner, Central Excise, Allahabad and Mr. Hasmukh Adhia, Secretary, Department of Revenue.

On 05.01.2016, the Court noted:

1. The Director, Head Quarters, Department of Revenue in his affidavit has indicated that the Ministry of Urban Development, Nirman Bhawan, Delhi has issued a letter dated 1st January, 2016 to the Ministry of Finance intimating that an appropriate space would be allotted to CESTAT no sooner after the completion of their building in October, 2017 at 34-A, M.G. Marg, Allahabad, which will house the permanent Bench of CESTAT.

2. The Registrar, CESTAT states that they require approximately 12000 sq. ft. of space for appropriate functioning of the Tribunal.

3. The Director, Head Quarters, Department of Revenue has further informed that a letter dated 1st January, 2016 has also been issued intimating the appointment of six persons as Member (Technical) in CESTAT.

4. Sri Hasmukh Adhia, Secretary, Department of Revenue has further indicated that an office memorandum dated 29th December, 2015 has been issued by the Central Board of Excise and Customs, Department of Revenue directing the transfer of entire old red building for temporary functioning of the CESTAT at Allahabad till such time as alternate accommodation is not made for shifting of their premises.

5. Sri Sanjay Rathi, the Commissioner posted at Allahabad in his affidavit has informed that possession of the entire red building has been given to Registrar, CESTAT.

6. A request was made by the Bar Association of the Tribunal for suitable space to be allotted to the Advocates practising and appearing before the CESTAT, Allahabad.

7. CESTAT has informed that the request of the Bar Association is under consideration and submits that their request would be suitably considered and a space would be allocated as far as possible by the Tribunal.

The High Court made the following directions:

1. Since a permanent place for establishing a permanent Bench of CESTAT has now been located, the Ministry of Finance to co-ordinate with the Ministry of Urban Development and ensure that appropriate space of 12000 sq. ft. is given to CESTAT so that the functioning of the Tribunal is not hampered on account of inadequate space. Necessary steps in this regard be taken by the two ministries and information be intimated to the Tribunal concerned as well as to this Court.

2. The President of CESTAT requested to pass appropriate orders for posting of members and ensure that adequate representation of members are made for proper functioning at Allahabad throughout the month. The Court be informed about the steps taken in this regard on the next date.

3. CESTAT will continue to function temporarily from the red building till it is finally shifted to the permanent building, which is under construction at 34-A, M.G. Marg, Allahabad.

4. Any space that is provided to the Bar Association would be only temporary in nature and that they would vacate the premises no sooner when the Tribunal is shifted to the permanent building.

The matter is posted for 4th April 2016 for further consideration when the Registrar, CESTAT will file a fresh status report. An affidavit will also be filed by the Ministry of Revenue.

Personal appearance of Sri S. Bhowmick, Under Secretary is dispensed with.

The exemption application of Sri Hasmukh Adhia is allowed.

DDT had extensively covered this issue.

1. -13 05 2015: The Allahabad High Court directed the Union of India to make the Allahabad Bench of CESTAT functional w.e.f. 21-7-2015 and to list fresh matter before the said Bench.

2. -20 05 2015: The Allahabad High Court gave certain directions regarding accommodation for the Tribunal.

3. -14 08 2015: The High Court gave certain directions to the District Magistrate regarding accommodation for the Tribunal.

4. -24 08 2015: The High Court gave certain directions inter alia that from the month of October, 2015 the Tribunal should function on a regular basis and not one week in a month.

5. DDT 2698-06 10 2015: The CESTAT Bench officially inaugurated at Allahabad on 1st October 2015.

6. -20 11 2015: The High Court gives further directions on accommodation.

7. -23 11 2015: The High Court observed, "the Ministry of Finance is not doing enough for setting up the permanent establishment of CESTAT. Nothing has been brought on record to indicate what steps they have taken subsequent to our order.

8. 23 12 2015: High Court summons Revenue Secretary

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