The Apex court has laid down following issue while handling the matter in hand and concluded the proceedings accordingly. In the present case of Commissioner of Central excise, Haldia v. M/s. Krishna Wax, the Excise Appellate Authority had held that an appeal could lie against any order passed under the Act by a Central Excise Officer lower in rank to the Commissioner. It had rejected the objection that the appeal was completely premature as the matter was not yet gone into; no reply to the show cause notice was filed by the Respondent and there was, as a matter of fact, no adjudication by the concerned authority. The Apex Court set aside the order and directed that the proceedings pursuant to the show cause notice be taken to logical conclusion.
The bench comprising of Justice Uday Umesh Lalit and Justice Vineet Saran made his observation in an appeal filed under Central Excise Act, 1944. IT stated that in the present case, the High Court had entertained a writ petition and directed the Department to prima facie consider whether there was material to proceed with the matter.
The Apex Court in the present matter held that it may not be appropriate for the writ court to entertain a petition under Article 226 of the Constitution of India against a show cause notice issued by Excise Authorities. They observed and held that:
“The excise law is incomplete code in itself and it would normally not be appropriate for a writ court to entertain a petition under Article 226 of the Constitution and that the concerned person must raise all the objections before the authority who had issued a show cause notice and the redressal in terms of the existing provisions of law could be taken to resort to if an adverse order was passed against such person.
Therefore, in the instant case the highest court of record held that and reiterated that a writ petition should normally not be entertained against mere issuance of show cause notice and concluded the proceedings as this being the crux of the issue in hand.