G.S. Singhvi, J. - (1.) Whether by writing editorial, which was published in Excise Law Times dated 1.6.2009 with the title "CESTAT PRESIDENT SETS HOUSE IN ORDER - ANNUAL TRANSFERS FOR MEMBERS INTRODUCED - REGISTRY IN LINE", the respondent violated the undertaking filed in this Court in Contempt Petition (Criminal) No. 15 of 1997 and whether contents of the editorial constitute criminal contempt within the meaning of Section 2(c) of the Contempt of Courts Act, 1971 (for short, Rs. the Act) are the questions which need consideration in this petition filed by Indirect Tax Practitioners Association, Bangalore under Articles 129 and 142 of the Constitution of India.
(2.) This Court had, after taking cognizance of letter dated 18.9.1997 written by Justice U.L. Bhat, the then President of the Customs, Excise and Gold (Control) Appellate Tribunal to the Chief Justice of India pointing out that the respondent had published objectionable editorials in 1996 (86) Excise Law Times pages A169 to A179, 1996 (87) Excise Law Times pages A59 to A70 and 1997 (94) Excise Law Times pages A65 to A82 containing half truths, falsehoods and exaggerated versions of the alleged deficiencies and irregularities in the functioning of the Tribunal, initiated contempt proceedings against the respondent which came to be registered as Contempt Petition (Criminal) No. 15 of 1997. On 25.8.1998, the respondent filed an undertaking, the relevant portions of which are reproduced below: I realize that my approach and wordings in the Impugned Editorials of ELT have given the impression of scandalising or lowering the authority of CEGAT. I state that I had no such intention as I had undertaken the exercise in good faith and in public interest. I sincerely regret the writing of the said Editorials which have caused such an impression. That I have been advised by my senior counsel - Mr. Shanti Bhushan that in future whenever there are any serious complaints regarding the functioning of CEGAT, the proper course would be to first bring those matters to the notice of the Chief Justice of India, and/or the Ministry of Finance and await a response or corrective action for a reasonable time before taking any other action. I undertake to the court to abide by this advise of my counsel in future. After taking cognizance of the same, the Court passed the following order: Mr. Shanti Bhushan, learned Counsel for the respondent (alleged contemnor) tenders a statement in writing signed by the respondent. We accept the regret tendered by the respondent in the said statement. We also accept the undertaking to Court given by the respondent in the said statement. Having regard to the aforesaid, the contempt notice is discharged. There will be no order as to costs. We express our gratitude to Mr. T.R. Andhyarujina who as assisted the Court at our request.
(3.) During the pendency of the aforementioned contempt case, the respondent had written detailed letters dated 2.6.2008, 7.7.2008, 23.7.2008, 26.7.2008, 9.8.2008 and 12.8.2008 to the Finance Minister, Government of India highlighting specific cases of irregularities, malfunctioning and corruption in the Central Excise, Customs and Service Tax Appellate Tribunal (CESTAT).After the notice of contempt was discharged, the respondent wrote two more letters dated 21.10.2008 and 28.2.2009 to the Finance Minister on the same subject and also pointed out how the appointment and posting of Shri T.K. Jayaraman, Member CESTAT were irregular. He drew the attention of the addressee to the fact that some of the orders pronounced by CESTAT had been changed. He wrote similar letters to the Revenue Secretary, President, CESTAT, Registrar, CESTAT and the Central Board of Excise and Customs. The particulars of these letters as contained in the reply affidavit filed by the respondent are as under: LETTERS TO THE FINANCE MINISTER Letter Date Subject 02-06-2008 CESTAT - Member-Advocate Nexus 07-07-2008 Gold Smuggling - Carrying of gold in soles of the shoes is a trade practice as per CESTAT order - Need for CBI enquiry 23-07-2008 Gold Smuggling - Carrying of gold in soles of the shoes is a trade practice as per CESTAT order - Need for CBI enquiry 26-07-2008 Change of "Pronounced Orders" by CESTAT Members - Open Court handwritten order directing deposit of Rs.15 lakhs changed to Rs.5 lakhs - Departments ROM application pointing out this discrepancy, repeatedly dismissed by CESTAT 09-08-2008 CESTAT : Changing of orders - Direction for deposit of Rs.50 lakhs changed to Rs.50,000 in a Customs case booked by DRI for "mis-declaration" of imports from China involving Rs.2.07 crores - Need for CBI Enquiry 12-08-2008 CESTAT, Settlement Commission, Revisionary Authority and Govt. Litigation in revenue evasion cases involving high revenue - Request for personal meeting 21.10.2008 Appointment of Judicial Members to CESTAT - Serious irregularities and tampering with the records - Mis- declaration as to eligibility by Mr. M.V. Ravindran, Member (Judicial), CESTAT. 28-02-2009 CESTAT : Changing of orders - Direction for deposit of Rs.50 lakhs changed to Rs.50,000 in a Customs case booked by DRI involving Rs.2.07 crores - Further revelations and Evidences - Need for CBI Enquiry strengthens LETTERS TO THE REVENUE SECRETARY Letter Date Subject 05-09-2008 CESTAT : Proposal for confirmation of Shri M.V. Ravindran, Member (J) and Shri K.K. Agarwal, Member (T) may be kept in abeyance, pending verification of allegations and irregularities committed by them - Initiation of disciplinary proceedings for their removal. 22-10-2008 Appointment of Judicial Members to CESTAT - Serious irregularities and tampering with the records - Mis- declaration as to eligibility by Mr. M.V. Ravindran, Member (Judicial), CESTAT 10-11-2008 CESTAT - Non-functioning of the Chennai Bench of the CESTAT since 3-11-2008 19-11-2008 CESTAT - Unauthorised and manipulated Tour Notes/Tours by Ms. Jyoti Balasundaram, Vice President - Need for Vigilance Enquiry 14-02-2009 Appeal by Revenue Department in S.C. - 95% of appeal lost - Departments representation at High Court still worse - Need for remedial measures 02-03-2009 CESTAT : Changing of orders - Direction for deposit of Rs.50 lakhs changed to Rs. 50,000 in a Customs case booked by DRI involving Rs. 2.07 crores - Further revelations and Evidences - Need for CBI Enquiry strengthens LETTERS TO THE HONBLE PRESIDENT, CESTAT Letter Date Subject 30-08-2008 Change of "Pronounced Orders" by CESTAT Members - Open Court handwritten order directing deposit of Rs.15 lakhs changed to Rs.5 lakhs - Departments ROM Application pointing out this discrepancy, repeatedly dismissed by CESTAT 01-09-2008 CESTAT - Changing of orders - Direction for deposit of Rs.50 lakh changed to Rs.50,000 in a Customs case booked by DRI for "mis-declaration" of imports from China involving Rs.2.07 crores - Need for CBI Enquiry 07-10-2008 Manner of listing of matters in the Cause List 11-10-2008 Need for uniform practice for dealing with Mention matters by different Zonal Benches of the CESTAT 05-05-2009 Annual Physical Checking of pending Appeals and Applications - Misplacement of Appeal files after grant of Stay in heavy matters 22-05-2009 Pronouncement of reverse orders within reasonable period - Need for re-hearing when order not pronounced within 4 months - Bombay High Court decision 08-06-2009 Pronouncement of "Reserved Order" - Listing in cause list. 13-07-2009 Complaint against Shri S. Chandran, Registrar, CESTAT for non-compliance of Miscellaneous Order No. 412/2007- SM(BR), dated 4-10-2007 passed by Justice R.K. Abhichandani, and misusing of authority as First Appellate Authority under RTI Act, by suppressing/fabricating information 31-08-2009 Disciplinary action against Shri S.K. Verma, Assistant Registrar, CESTAT as per the directions of the Presiding Officer of Debt Recovery Tribunal-II, Delhi and for other complaint and lapses 02-09-2009 Non-maintenance of records for Supplementary Cause Lists issued by Chennai Bench of the CESTAT 10-09-2009 Improper and illegal transfer of the Customs Appeal Nos. C/112 & 139/2009 from Division Bench to Single Member Bench in violation of provisions of Customs Act and CESTAT (Procedure) Rules, 1982 - Need for Inquiry by an Independent Agency. 16-09-2009 Service Tax appeals relating to valuation and rate of tax by Single Member Bench in violation of Section 86(7) of Finance Act, 1994 19-09-2009 Need for incorporating the amount of duty, penalty and fine in the orders passed by the CESTAT 22-09-2009 Act of insubordination by Asst. Registrar by commenting on exercise of power by President as violating rules and exceeding powers - Need for disciplinary action 23-09-2009 Information about antedating of orders and delayed release of orders, particularly of CESTAT Bangalore and of Single Member Bench of the CESTAT, New Delhi 05-10-2009 Report of despatch of CESTAT Orders - Non-Compliance By CESTAT, Mumbai 16-10-2009 Information about antedating of orders and delayed release of orders, particularly by Bangalore Bench of CESTAT 16-10-2009 Lodging of Police Complaint for missing records from CESTAT, New Delhi 23-10-2009 Delay in dispatch of the orders - Non submission of weekly report for dispatch of orders by the Regional Benches - Inaction by the Registrar and Deputy Registrar at CESTAT Headquarters, New Delhi. 26-10-2009 Complaint against Shri P.K. Das, Honble Member (Judicial), CESTAT, New Delhi 08-01-2010 Strengthening the CESTAT by providing facilities to the Members in the Tribunal LETTERS TO REGISTRAR, CESTAT Letter Date Subject 23-08-2008 Listing of matter in two different courts 09-12-2008 Files for Tour orders and Roaster orders for 2001 - missing 09-12-2008 Issuing of letters without File Number or letter number or the dispatch diary number 27-01-2009 Withholding of Supreme Court remand orders by the CESTAT Registry, Mumbai - Request for disciplinary action. 04-11-2009 Fault of CESTAT Registry, Mumbai in not placing before the Bench the proof of deposit of pre-deposit amount 14-11-2009 Tracing out of case records of Kozy Silks (P) Ltd. LETTER TO THE CDR, CESTAT, NEW DELHI Letter Date Subject 01-08-2009 Cross-Appeals to be heard together 06-08-2009 CESTAT Orders - Discrepancies between pronounced orders and issued orders - Strengthening of Departmental Representation to safeguard revenue - Reg. LETTERS TO CENTRAL BOARD OF EXCISE & CUSTOMS Letter Date Subject 02-03-2009 CESTAT : Changing of orders - Direction for deposit of Rs.50 lakhs changed to Rs.50,000 in a Customs case booked by DRI involving Rs. 2.07 crores - Further revelations and Evidences - Need for CBI Enquiry strengthens 06-06-2009 Change in Pronounced Orders 13-06-2009 Appeals under Section 35G of the Central Excise Act to be filed within 180 days - High Courts have no power to condone the delay - Latest Supreme Court decision in the case of Chaudharana Steels (P) Ltd. v. Commissioner of Central Excise, Allahabad - Need for suitably modifying the CBE & C Circular No.888/8/2009-CX, dated 21-5-09 08-08-2009 Change of pronounced orders by CESTAT Members - Whereabouts of complaint dated 4-8-2008 made to the Finance Minister. ;