Facts of the Case

  • The Parties: The appellant in this matter is the Commissioner of Central GST and Central Excise, J&K Jammu (Revenue Department). The respondent is Emcure Pharmaceuticals Ltd, located at SIDCO, Jammu.
  • Nature of Appeal: The Revenue filed a Central Excise Appeal (CEA No. 389/2022 along with miscellaneous applications CM No. 7284/2022 and CM No. 7285/2022) before the High Court of Jammu & Kashmir and Ladakh.
  • Historical Precedent: The underlying dispute in this appeal shared identical legal questions, facts, and circumstances with a cluster of several other Excise Appeals that the High Court had previously adjudicated.
  • The Leading Case: The benchmark judgment governing this specific legal issue was delivered by the same High Court on May 23, 2022, wherein CEA No. 10 of 2020 served as the leading case.

Issues Involved

  • Admissibility of the Appeal: Whether the Revenue's Central Excise Appeal could be entertained when the core legal issues and facts were identical to matters already adjudicated by the coordinate bench of the High Court.
  • Existence of New Grounds: Whether the Appellant (Revenue) presented any fresh legal arguments, distinct grounds, or novel questions of law that could distinguish this case from the binding precedent set in CEA No. 10 of 2020.

Petitioner’s (Appellant's) Arguments

  • Representation: The Appellant was represented by learned counsel Mr. Jagpaul Singh.
  • Contentions: The Appellant preferred this appeal against the respondent-assessee seeking to agitate issues surrounding Central Excise compliance/demands. However, during the oral arguments, the appellant's counsel could not demonstrate or establish any new legal grounds, fresh factual matrices, or distinctive elements that deviated from the previously settled position of law.

Respondent’s Arguments

  • Representation: The Respondent was represented by Mr. Rajnesh Singh Parihar, Advocate, appearing vice Mr. Gautam Chugh, Advocate.
  • Contentions: The respondent’s counsel maintained that the present appeal was entirely repetitive and vexatious, as the subject matter stood squarely covered and conclusively resolved by the High Court's earlier comprehensive judgment and order dated May 23, 2022. Therefore, the respondent argued for the mechanical application of the precedent to dismiss the present appeal.

Court Order / Findings

  • Bench Composition: The matter was heard and decided by a Division Bench comprising Hon’ble the Chief Justice (Acting) Tashi Rabstan and Hon’ble Mr. Justice Rajesh Sekhri.
  • Finding of Identity: Upon hearing both parties and reviewing the case record, the High Court observed that this appeal is entirely similar and identical to the batch of Excise Appeals decided via the judgment dated May 23, 2022 (with CEA No. 10 of 2020 as the leading case).
  • Absence of Fresh Grounds: The Hon'ble Bench explicitly recorded that no new grounds or distinct arguments were available to or canvassed by the appellant. The matter stood squarely covered by the prior ruling.
  • Final Dismissal: Consequently, the High Court dismissed the Revenue's appeal (CEA No. 389/2022) on the exact same terms and conditions as detailed in the judgment and order dated May 23, 2022, passed in CEA No. 10/2020 and its connected matters.

Important Clarification

  • Doctrine of Precedent: This ruling reaffirms the strict applicability of the doctrine of precedent. When a higher judicial forum or a coordinate bench has already delivered a conclusive judgment on an identical set of facts and law involving the same department, the Revenue cannot re-litigate the same issue unless distinct, new grounds are brought to light.

Section Involved

  • Primary Statutes: Central Excise Act, 1944.
  • Procedural Provision: Section 35G of the Central Excise Act, 1944 (pertaining to Central Excise Appeals before the High Court).

Link to download the order - https://mytaxexpert.co.in/uploads/1782973557_275compressed.pdf

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