Judges : M.M.PAREED PILLAY
Vasudevan - Appellant
Versus
Asst.Collector of Central Excise - Respondent
Case No : O.P.No.10475 of 1989
Decided On : 08/14/1993
Advocates Appeared :
P. Santhalingam For Petitioner K. Karthikeya Panicker For Respondents
Gold Control Act - Confiscation of gold items - S.71(1) - S.153 of the Customs Act 1962 - The court discussed the provisions of S.71(1) of the Gold Control Act and S.153 of the Customs Act 1962. It highlighted the requirement of proper service of order or decision under S.153 and emphasized that the authority cannot adopt any mode of service at their discretion. The court held that the notice sent by registered post was not properly served and the petitioner's request to redeem the gold ornaments on payment of the fine imposed was allowed.
Fact of the Case:
The petitioner's shop was inspected by the Superintendent of Central Excise, and certain items of primary gold and gold ornaments were seized and confiscated under the Gold Control Act,1968. The petitioner's appeal was rejected, and the petitioner contended that he did not receive the registered notice informing him of the rejection.
Finding of the Court:
The court found that the notice sent by registered post was not properly served, and the petitioner's request to redeem the gold ornaments on payment of the fine imposed was allowed.
Issues: Proper service of order or decision under S.153 of the Customs Act 1962, petitioner's receipt of the registered notice informing him of the rejection of the appeal.
Ratio Decidendi: The court emphasized the requirement of proper service of order or decision under S.153 and held that the notice sent by registered post was not properly served.
Final Decision: The court directed the respondents to allow the petitioner to redeem the gold ornaments referred to in the order on payment of the redemption fine of Rs.5,000/- and allowed the Original Petition.
Petitioner's father is a licenced gold dealer and the petitioner is conducting the business. On 10-11-1974 his shop was inspected by the Superintendent of Central Excise, Trichur and party and seized certain items of primary gold and gold ornaments and they were confiscated under the Gold Control Act,1968. Petitioner's reply to the show cause was not accepted and Ext.P-1 order was passed by the first respondent confiscating the seized items of gold under S.71(1) of the Act with an option to the petitioner to redeem the gold ornaments on payment of fine of Rs.5,000/- within three months from the date of receipt of the order.
2. The case of the petitioner is that the third respondent did not take any steps to dispose of the appeal filed by him for about 8 years, that he was informed as per Ext. P-2 of the posting of the appeal on 26-6-1986 and that his counsel appeared before the third respondent on hearing dale and that it was submitted that the petitioner be allowed to redeem the gold ornaments on payment of fine of Rs.5,000/-. Third respondent passed Ext.P6 order rejecting the appeal and confirming Ext.P-1. Petitioner contends that he is ready to pay the fine amount of Rs.5,000/- that his counsel at the time of hearing of the appeal indicated the above desire, but the appeal was rejected and as he was not intimated about it he could not pay the same.
3. Learned counsel for the respondent admitted' that registered notice was sent to the petitioner intimating him of the disposal of the appeal and he intentionally evaded the receipt of the same and therefore at this distance of time he cannot be allowed to take the stand that he is ready to redeem the gold ornaments on payment of fine. He submitted that the petitioner should have done so within three months from the date of Ext.P-6 order. Contention of the petitioner is that he did not receive the registered notice informing Ext.P6 order and so it became virtually impossible for him to pay the fine within three months of the order.
4. Ext.R-2(a) is the Photostat copy of the registered letter alleged to have been sent to the petitioner intimating him of the result of the appeal. Learned counsel for the respondents pointed out that Ext.R2(a) distinctly shows that the registered notice was sent on 16-7-1986 and the petitioner evaded its receipt. He submitted that S.153 of the Customs Act 1962 has been complied with as Ext.P6orderin original was displayed in the notice board in the Customs House and so the petitioner has to be imputed with the knowledge of it.
5. The question that arises for consideration is whether it is open to the 3rd respondent to adopt any of the modes of service of the order or decision in his own discretion. S.153 reads:
"153. Service of order, decision, etc: - Any order or decision passed or any summons or notice issued under this Act, shall be served -
(a) by tendering the order, decision, summons or notice or sending it by registered post to the person for whom it is intended or to his agent; or
(b) if the order, decision, summons or notice cannot be served in the manner provided in Cl. (a), by affixing it on the notice board of the customs house."
Thus it can be seen that notice issued under S.153 can be sent by registered post either to the person for whom it is intended or to his' agent and if it cannot be so served, the service may be effected by affixing on the notice board of the Customs Office. It cannot be held that it is open to the authority to take the stand that it is open to him to adopt any of the modes of service as prescribed under clause (a) or (b) of S.153 as he deems fit.S.153 does not allow respondents to contend that affixture of Ext.P-6 order in the notice board of the Customs House alone would be sufficient. Clause (b) clearly states that if the order, decision, summons or notice cannot be served in the manner provided in clause (a) it can be affixed on the notice board of the Customs House. The normal rule is to tender the order
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