The Madras High Court has set aside a customs adjudication order issued after a lengthy delay of 14 years, ruling it as time-barred under Section 28(9) of the Customs Act, citing an unreasonable and arbitrary process.
Madras HC Sets Aside Old Customs Order
The Madras High Court has recently quashed a customs adjudication order that was passed 14 years after the issuance of a show cause notice. The Court deemed the order time-barred under Section 28(9) of the Customs Act, emphasizing that the prolonged delay in adjudication was both unreasonable and arbitrary.
The Court's decision rests on the interpretation of the statutory limitation period provided under the Customs Act, which aims to prevent undue harassment of assessees through prolonged proceedings. In this case, the significant lapse of time without progression on the matter led to the conclusion that proceeding with enforcement was no longer legally tenable.
This ruling reinforces the importance of timeliness in customs adjudication, and the Court's approach signals a protective measure for assessees against unreasonably delayed proceedings. Legal practitioners should take note of this precedent when confronting similar time-bar issues in customs disputes.
Citations
- N/A
