CBEC-Withering bureaucracy turning India into a Banana Republic-3rd Story

Various authorities such as excise, Customs, DGFT etc. exist for facilitation & implementation of the law in proper perspective. However, the law is spelt out in such a manner that it will help those in power to provide five star service to those who take good care of them & make the life miserable of those who work in a legally oriented manner. The position is so bad that even the CBEC circulars, which are binding on the department are ignored.

As you will remember, this series pertain to rebate on the export of goods where hundreds of frivolous appeals are coming up & the time, energy & effort of all concerned is wasted.

we invite your reference to the CBEC circular issued from F.No. 224/37/2005-CX. 6, dated 24-12-2008, which pertains to the duties & responsibilities of the Central Excise officers.

Quote:

3.7

Verification of ARE-1/ARE-2 for export of goods.

To verify the identity of the export goods and also verify the particulars of assessment and correctness of duty paid or payable indicated on ARE-1/ARE-2.

He may also verify the identity of the export goods and particulars of assessment on random basis. Ensure compli-ance with the procedure specified in Notification. No. 19/2004-C.E. (N.T.) dated 19-9-2001 or in Notification No. 42/2001-C.E. (N.T.) and any other relevant notification/circular.

Unquote:

Therefore, the range officials at all points of time have been responsible for the assessment and correctness of duty paid or payable indicated on ARE-1/ARE-2. Once again, neither the departmental officials nor the Revisionary authority can conclude that the department officials failed in carrying out the assigned duty/responsibility or even after they carried out the same then also the department does not accept that assessment & the rebate sanctioning authority can alter that assessment without any authority in terms of the law. It is pertinent to point out that the CBEC circulars are binding on the department & the department cannot take stand contrary to the circular & the  Apex Court decision in case of CCE V/s. Indian Oil Corporation Ltd. -2004 (165) E.L.T. 257 (S.C.) is relied upon by the exporters.

The pertinent issues which then arise are that is the CBEC not aware of the circular & the responsibilities of the jurisdictional Excise officials & if they are then why can’t they take appropriate action against the culprits instead of permitting the harassment of the exporters in an unabated manner. Is the CBEC not responsible for such disgusting & shameful state of affairs more than the field formations for not being able to ensure that what they say in terms of the law is implemented.

The department has no counter to the facts placed on record. However, when law does not come to the rescue, cheating & abuse of authority is resorted to & decisions are giving by ignoring the submissions placed on record. This can only happen in India because there is absolutely no fear of whatsoever nature because the authorities are sure that nobody will pay any heed to the complaints of such misdemeanour & ever take action against them. Thus there is binding legal precedent but no implementation of it, thus reducing India to a banana republic.

This is the third part of the story. However, the story of the abuse of authority does not end here. Further lampooning of the system & abuse by the authorities will follow in the next write up. Till then Good bye.

rajiv.pec@gmail.com