In Customs Appeal No. 85090 of 2020 - CESTAT - Merely sending Order-in-Original/Show Cause Notice by speed post does not fulfill the communication requirement under Section 128 of the Customs Act, rules CESTAT (Mumbai)
Member Ajay Sharma (Judicial) [06-06-2023]

Read Order: Metro Fashions v. Commissioner of Customs, Mumbai (Air Cargo Export)

Chahat Varma

New Delhi, June 7, 2023: The Mumbai bench of the Customs, Excise and Service Tax Appellate Tribunal has ruled that merely by sending a copy of the Order-in-Original by speed post, the department cannot be said to have discharged their liability. The Tribunal emphasized that communication of the order means that it must be served on the assessee, as the wording used in Section 128 of the Customs Act is ‘date of communication of order’.

The issue involved herein was whether the Commissioner was justified in dismissing the appeal as time barred under Section 128 of the Customs Act.

According to the appellant although the date of the adjudicating order was 28.3.2018 but the same was not received by the appellant and the certified copy of the same was received by them on 13.9.2019, that too when they approached the authorities concerned and therefore the period of limitation had to be calculated from 13.9.2019 and not from 28.3.2018.

The Tribunal held that in the instant case the appellant received copy of the Order-in Original on 13.9.2019 and the appeal before the Commissioner (A) was filed on 24.10.2019 which was well within a period of three months from the date of receipt/communication of the Order-in-Original. Therefore, the Commissioner (Appeals) had erred in rejecting the appeal on the ground of time bar.