14-Year-Old Service Tax SCN yet to be Adjudicated: CESTAT Quashes Subsequent Statements of Demand

In a case highlighting extreme departmental delay, the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has quashed several Statements of Demand. The tribunal noted that the original Show Cause Notice (SCN) in the matter was issued 14 years ago and had still not been adjudicated by the department. The department had subsequently issued further statements of demand for the later periods, which were linked to the original SCN. The CESTAT held that it is a gross violation of the principles of natural justice to keep a matter pending for such an inordinately long period. The tribunal quashed the subsequent demands, stating that they cannot be sustained when the foundational SCN itself has not been decided for over a decade. This ruling provides a major relief to the assessee from a prolonged and unending litigation process.