Revision by Same Rank Officer not Permissible - HC
IN a recent order, the Punjab and Haryana High Court set aside two orders passed by the Revision Authority on the ground that the Commissioner (Appeals) and the Revision Authority were of the same rank. The High Court observed,
1. the impugned order was passed by the Joint Secretary to Government of India who was also Commissioner of Central Excise and Customs.
2. Thus, the order in appeal as well as revisionary order had been passed by the officers of the same rank which is not permissible as per law.
3. The impugned orders are set aside.
4. However, liberty is granted to the State to proceed afresh in accordance with law but without prejudice to the rights of the parties.
Now, what happens?
1. The High Court has given liberty to the Government to proceed afresh in accordance with law. What can the Government do? An order passed by the Commissioner (Appeals) has been confirmed by the Revision Authority. The Revision Authority's order has been set aside. That means the order of the Commissioner (Appeals) and that of the adjudicating authority merge with the order of the Revision Authority which has been set aside. Therefore, no order remains. Can the department now issue another Show Cause Notice?
2. What will happen to all the pending cases before the Revision Authority? As per the High Court order, he has no power to decide those cases. But if he doesn't pass an order, the Commissioner (Appeals) verdict becomes effective. So, should one get an order from the Revision Authority and then get it quashed by a High Court?
3. The High Court has held that revision by same rank officer is not permissible as per law, but the High Court has not elucidated as to which law makes it impermissible.
What can the Government do?
1. The easiest thing perhaps is to appeal to the Supreme Court, which option will keep all the pending cases with the Revision Authority in suspended animation for the next decade or so.
2. They can appoint a Chief Commissioner as the Revision Authority, so that the Revision Authority is higher in rank than the Commissioner (Appeals). But this is not easy – as such they do not have enough Chief Commissioners and which Chief Commissioner will like to work as a Revision Authority?
3. They can do away with the appeals to the Revision Authority? Why should the Government retain certain appellate powers when we have an effective Tribunal? Is it to retain a post or to ensure Revenue favour orders in these matters?
The High Court order came two months ago; the Government has not acted so far – hope they will soon.
Please see Breaking News for the High Court Order.