The Customs, Excise & Service Tax Appellate Tribunal addressed an appeal where the appellant alleged arbitrariness in enhancing customs duty without proper reasoning. The court remanded the matter to the Commissioner (Appeals) for appropriate justification.
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Customs, Excise & Service Tax Appellate Tribunal West Zonal Bench At Ahmedabad
REGIONAL BENCH- COURT NO.1
Customs Appeal No. 10886 of 2016
(Arising out of OIA No. KDL-CUSTM-000-APP-089-15-16 dated 12.02.2016 passed by Commissioner of Customs (Appeals) - Ahmeadabad)
MPS Wood Products Pvt. Ltd. ...Appellant
Survey No. 209/210, NH 8-A, Near Ambica Transport Naga, Mithi Rohar, Gandidham
VERSUS
C.C. Kandla ...Respondent
New Customs Building, Near Balaji Temple, Kandla- Gujarat-370210
WITH
Customs Appeal No. 10887 of 2016
(Arising out of OIA No. KDL-CUSTM-000-APP-089-15-16 dated 12.02.2016 passed by Commissioner of Customs (Appeals) - Ahmeadabad)
Sanjeev Gupta ...Appellant
Director, M/s MPS Wood Products Pvt. Ltd. Survey No. 209/210, NH 8-A, Near Ambica Transport Naga, Mithi Rohar, Gandidham
VERSUS
C.C. Kandla ...Respondent
New Customs Building, Near Balaji Temple, Kandla- Gujarat-370210
APPEARANCE:
Shri Hardik Modh, Advocate appeared for the Appellant Shri Aakash Singh, Superintendent (AR) appeared for the Respondent
CORAM: HON'BLE MR. SOMESH ARORA, MEMBER (JUDICIAL) HON'BLE MR. SATENDRA VIKRAM SINGH, MEMBER (TECHNICAL)
FINAL ORDER NO. 10401-10402 /2026
DATE OF HEARING: 06.07.2026 DATE OF DECISION:06.07.2026
SOMESH ARORA:
We have heard the matter. The learned advocate is aggrieved by the fact that the duty demand which is confirmed at about Rs. 5 Lakh, at the level of original adjudicating authority has arbitrarily been enhanced by the Learned Commissioner (Appeals) to Rs. 26 lakhs approx without giving proper reasoning. He takes us to para 11 and 12 of the impugned order to indicate that the detailed reasoning and reasons for enhanced duty demand have not been given anywhere in the order and also various submissions made by them, have not been entertained. Learned AR
e C / 1 0 8 8 6 - 1 0 8 8 7 / 2 0 1 6
2 | P a g
after having gone through the paras tries to defend the order stating that the same was duly reviewed but it is of no consequence to us because it is the Appellate Authority which has to give proper reasoning, same is absent. The matter is remanded to Commissioner (Appeals) to give proper reasoning including on all the submissions made or to be made by the appellant. Appeal allowed by way of remand.
(Dictated & Pronounced in the open court)
(SOMESH ARORA) MEMBER (JUDICIAL)
(SATENDRA VIKRAM SINGH) MEMBER (TECHNICAL)
Neha
1 issue framed by the court
Whether the Commissioner (Appeals) provided adequate reasoning for enhancing customs duty from approximately Rs. 5 lakh to Rs. 26 lakh.
1 provisions across 1 enactments
MPS Wood Products Pvt. Ltd.
Sanjeev Gupta
C.C. Kandla
SOMESH ARORA
SATENDRA VIKRAM SINGH
As recorded by the court registry
An appeal in a customs matter before the Customs, Excise and Service Tax Appellate Tribunal.
Judgements on the same questions, provisions and authorities, from every court
