1 Customs Appeal 49/06 lgc IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION CUSTOMS APPEAL NO.49 OF 2006 The Commissioner of Customs (EP) : Appellant. versus M/s. Sanghi Industries Ltd. : Respondent. Mr. A S Rao a/w Mr. R B Pardeshi for the Appellant. Mr. V Sridharan a/w Mr. J Sanghvi i/by PDS Legal for the Respondent. CORAM :- V.C.DAGA & R M SAVANT, JJ DATE :- 13th October, 2010 P.C. Heard. Perused Appeal. 2 This Appeal, filed at the instance of the Revenue, is directed against the order dated 25.11.2005 passed by the Customs, Excise and Service Tax Appellate Tribunal, South Zonal Bench at Banglore whereby and whereunder fine, penalty and interest imposed on the Respondent/Assessee were set aside pursuant to the adjudication of the show cause notice, for the reasons mentioned herein below :- “On a careful consideration, we notice from the cited judgments that the Tribunal, in all the cited judgments, clearly held that fine, penalty and interest is not leviable in similar cases were the export obligation could not be fulfilled due to Global Economic crisis in Asia and particularly in South-East Asia. All these judgments set aside the penalties, interest and fine. The prayer of the appellants for setting aside the same is allowed. The fine, penalty and interest are set aside in the light of the cited judgments on the same issue.” 3 On the above canvas of the findings recorded by the Tribunal, the Revenue has raised a contention as to whether global crisis could be a ground to exonerate the Respondent from its export obligation. 1 Customs Appeal 49/06 4 The learned counsel appearing for the Respondent/Assessee could not support the impugned order. 5 In our considered view, the view taken by the CESTAT quoted above is absolutely untenable and perverse. The view taken could not be said to be a legal and valid in absence of any foundation in support thereof. It was not a defence taken by the Respondent before either of the authorities below. 6 In the circumstances and also looking to the consensus between the parties, we are constrained to set aside the impugned order. We restore the Appeal to the file of CESTAT with direction to re-hear the Appeal and adjudicate the same by a reasoned order in accordance with law following principles of natural justice. All rival contentions are kept open. 7 By consent of parties remanded proceedings are to be heard by the Bombay Bench of the Tribunal. 8 In the result, this Appeal is disposed of in terms of this order with no order as to costs. (R.M.SAVANT,J.) (V.C.DAGA,J.)