Thursday, February 18, 2016

OBITUARY - SUPDT. RAVINDRA S. PHADKE



                          14-Jan-1968 - 18-Feb-2016.
 
Shri Ravindra S. Phadke, 48 years, working as Superintendent, Service Tax, residing at Risabh Housing Society, near Liberty Garden, Malad (West), with his family, is no more.
 
Shri Phadke joined the department as an Inspector of Central Excise in the year 1993 and worked in various formations including DRI. He was promoted as Superintended in January 2015 and his last posting as Superintendent was in Division IV of Service Tax III Commissionerate.
 
Due to the new pressure-filled work culture prevailing in Mumbai Service Tax, coupled with the shortage of support staff, lack of basic infrastructure and the pressure tactics for forceful & arbitrary implementation of Rule 56-J of the Administration, might have taken a toll on him.
 
He is survived by his wife, who is working in a private company, and a son, who is doing engineering.

Cremation may take place today, late at night.
 
 
This incident has shocked the family and the entire Central Excise fraternity. Earlier, several untimely deaths occurred in the Service Tax department, due to heart attacks.
 
Officers working in the Mumbai Service Tax Department are under a huge amount of stress. Adding insult to injury is the denial / curtailing of leave, which causes a rift in the family, which the officer has to undergo silently. So, eventually, the officer can neither have job satisfaction nor a contended family life. 

Administration should therefore introspect and amend their way of administration in Mumbai so that a conducive working atmosphere will prevail and staff will be comfortable / amenable to disclose / resolve their problems, whether it is official or personal. Otherwise, the uniformed cadre of this Department will not take much time to resort to tit-for-tat, forgoing their discipline, similar to the tragic incidents that has taken place in CISF, BSF etc.

 
CESA expresses its profound grief on the untimely departure of Shri Ravindra S. Phadke and pray to the Almighty to let his soul Rest in Peace.  CESA also prays that his family may be strengthened to overcome this great loss.
 
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Friday, February 12, 2016

CSI AIRPORT POSTINGS...

                                                                 Ref: CESA/05/2016
                                                                        Date: 11-Feb-2016.
To,
The Hon’ble Chief Commissioner,
Central Excise,
Zone-I, Mumbai.

Respected Sir,

Sub. : Request for filling up of posts in CSI Airport,   and filling up of vacant posts allotted to other zones – Reg.
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After a long persuasion, Mumbai Customs Administration, on 08-Feb-2016, informed all the Cadre Control Authority about the vacancies allotted to the Central Excise pool.
On going through the same, it is observed that the number of posts allotted to the Central Excise pool is the same as it was in 2014. There has been no increase in the posts allocated to the CEx pool after the increase in staff strength in the Cadre Restructuring in Oct-2014.
The strength of Superintendents from Central Excise pool is 56. Currently 10 officers (only 1 is from Mumbai Zone) are working in CSI Airport leaving a vacancy position of 46 officers. Even though posts are allotted to officers of zones other than Mumbai, it is seldom filled as very few officers, now a days, show willingness to come to Mumbai and work. Also, as many international airports have newly come up in different states, officers from the other states prefer to work at the nearest local formations / airports and the demand for Mumbai airport has declined, due to high costs of living and accommodation.
Hence, CESA-Mumbai requests the following :-
a)    To initiate and complete the formalities for selection and thereafter posting of these officers to CSI Airport, Mumbai. 

b)   In earlier years, Mumbai Customs Administration considered the request of the Patna CX Zone and posted more officers to CSI Airport, Mumbai, than the sanctioned posts. Similarly, as the posts allotted to other zones are lying vacant, the same may be filled from the Cadre Control of Mumbai Zone, so that more officers can be exposed to the Custom formations/work. This will result in double savings as posts will be filled locally and the accommodation shortage will not be burdened further.
In light of the above, CESA, Mumbai requests you to kindly make a reference to the Mumbai Customs Administration and enhance the number of officers to be posted to CSI Airport, Mumbai, so that in one go, the panel of officers can be prepared, which will save time of both the Administration.
 
Thanking you,
                                                                 Yours sincerely, 

A.K. SASMAL
                                                                 General Secretary

Wednesday, February 10, 2016

RUN / RUIN THE ADMINISTRATION...



                    Ref: CESA/03/2016
                    Date: 10-Feb-2016.
To,
The Hon’ble Chief Commissioner,
Central Excise,
Mumbai Zone-I.

Respected Sir, 
                              Sub:- Undue delay in Rotation, Transfer &        
                                        Repatriation of Officers – Reg.
With reference to the above, it is observed that the Orders are being issued but are not being fully implemented as some of the officers under orders-of-transfer are not being relieved on one-or-the-other pretext. To have fair rotations & transfers, a policy has been formulated but the same is not being followed in letter and spirit, which creates a lot of resentment amongst the officers posted to various formations and are waiting for their repatriation orders.
To be more precise, a skilled, experienced and knowledgeable officer never has to approach their Senior Officers for any postings. Automatically his work speaks for itself and he is utilized by the senior officers / Administration and becomes an asset to the Department. But nowadays, very often it happens that when there is a change in the leadership of an Organization, the new incumbent pulls in officers of his choice either from his earlier posting or officers known to him earlier. They perceive that they will not be able to perform with the current set of officers available under their command. They “indent” the officers and an informal request is made to make the known officers available. If this method does not work, then they themselves make every effort to get the said set of officers posted. Cadre Control office should not be a party to a syndicate who are keeping officers more than the prescribed tenure and allowing the same set of officers to serve in various grades even after promotions, decade after decade.
It is also observed that officers who are close to the previous senior officers are discarded by the new incumbents, even to the extent of shunting them out with false allegations, much to the detriment of the organization and its staff.
This amply shows that the service of these skilled officers are not utilized for the improvement in the performance of the organizations they are posted in, but for the senior officer’s own self-interests, whether it is DRI, DGCEI, ED, Settlement Commission, Commissioner(Appeals), Adjudications, etc.
Sir, the rosters are made for LTU, Pune and M&P. If the officers are not rotated in time, the very purpose of making the roster is defeated, and in the eyes of the officer, the presence of the Administration is not felt and all policies made are useless.
The tenure is fixed, the orders for rotation and repatriations are to be issued on time, without any delay & deviations.
As regards to DRI, DGCEI, ED, Settlement Commission, Vigilance, NACEN, etc., officers who have completed their deputations tenure (either 3 or 5 years + 2 years extension) or a loan posting 1 year, are to be repatriated immediately. No further extensions should be granted to them by obliging the individual senior officers, which sends a very wrong signal to the field formations.
It is earnestly requested that the Administration of the Cadre Control (Mumbai Zone) work be strengthened by making it an exclusive cadre controlling authority, like other zones in CBEC, and segregating the work of the Establishment section of Mumbai-I Commissionerate, like other Commissionerates. More staff also needs to be posted in the Confidential & Establishment section of CCO for this purpose so that necessary care is taken for each cadre under the Cadre Controlling Authority.
In view of the above, it is requested that the following actions be taken to make the CC office more effective & prompt in respect of staff welfare measures :-
(a)       Immediately issue the transfer & repatriation orders in respect of officers posted to M&P / Pune / LTU-Mumbai and ensure that officers under orders-of-transfer be relieved at the earliest.
(b)   A good number of officers are now being transferred from Mumbai Service Tax Zone to Pune / M&P, but no replacement officers are posted. Officers repatriated are posted back to their parent zones i.e., Zone-I or Zone-II. It is requested that the officers on the roster for ST of CX Zone-II should be posted to Mumbai Service Tax zone.
(c)  That orders for transfer on compassionate grounds are to be issued on priority basis and to ensure that the officer is relieved immediately, so that the relief intended is received.
(d)    The requests for transfer on medical grounds for self or because of illness in the family are to be considered on top priority.
(e)  Any representation received from officers is to be replied to appropriately, so that transparency & fairness in Administration will prevail.

Thanking you,
Yours sincerely
A.K. SASMAL
General Secretary
 CC :
a)  The Hon’ble Chief Commissioner, Mumbai CX Zone-II
The Hon’ble Chief Commissioner, Mumbai Service Tax Zone.

Monday, February 8, 2016

TWISTS & TURNS IN MACP...


MACP situation across the country

In Chennai, 69 officers, who were deprived of the 3rd MACP upgradation to GP 6600, approached the Chennai CAT and prayed for the following Relief:

It is therefore prayed that this Hon’ble  Tribunal may be pleased to direct the respondents to grant 3rd MACP  to the applicants  by  fixing them in the Pay Band -3  in Rs.15600-39,100 /-  with Grade Pay  Rs.6600/- on completion of  30 years of service  in the light of the  directions given by Hon’ble High Court Madras in W.P.no.19024/2014  dated  8.12.2014  and the decision of the Department of  Personnel and Training communicated  by the Central Board of Excise and Customs, Department of Revenue, New Delhi dated  26.5.2015  with all consequential and  attendant benefits including  arrears  of  pay  and allowances and pass  such other order or orders as may be deemed fit and thus render justice.

The matter is high on board – date is fixed for 19-Feb-2016. Hoping for a favourable order.

Against the Shillong Cadre Controlling Authority, an officer approached the Guwahati CAT and got a favourable order against recovery, vide its order OA No. 040/00416/2014 dated 26-June-2015, which has observed the following :-

12.  In view of the foregoing discussions, the OA is allowed in terms of Hon’ble Madras High Court in the case of Shri R. Chandrasekaran (supra) which has already been settled by the above clarification of DOPT and Ministry of Finance, New Delhi. Consequently, the orders dated 25.10.2011 as well as 07.08.2013 and last pay certificate dated 24.11.2014 are set aside. No order as to costs.

Similar judgements from Calcutta CAT has been issued quashing the recovery proceedings.

IN THE BOARD OFFICE, THE SAID ISSUE IS PRESENTLY BEFORE THE MINISTRY OF EXPENDITURE. BOARD IS PURSUING DOPT FOR EARLY REPLY. DOPT HAS ONLY GIVEN THE BENEFITS TO PERSONS WHO HAVE APPROACHED THE CAT/COURT FOR CONTEMPT.

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Ameeting of the Promotee IRS Officers were held on 6-Feb-2016. On the issue of RRs as well as Mumbai CAT judgement and caveat filed by Board in the Mumbai High Court, was discussed. To safeguard the interests necessary preventive measures were discussed and shortlisted those that were to be adopted. About regularization of adhoc promotions and flaws in the promotion orders issued by the Board giving benefits to other stake holders was also discussed and a strategy was chalked out. The President of All India Inspector Association, Shri Anupam Neeraj, alongwith their officer bearers and also office bearers of CESA, Mumbai attended the said meeting. The issue of MACP was also raised. Solidarity to the agitational programme of Confederation against the recommendations of the 7th Pay Commission and other issues was taken. It was also resolved to work unitedly with Inspectors & Superintendents towards staff welfare measures & career progression without any precondition or reservation.
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Friday, February 5, 2016

FROM THE DESK....


Mumbai-CAT to Principal-CAT, New Delhi

In Mumbai-CAT, OA No. 695/2015 on regional disparity was scheduled to be heard on 01-Feb-2016 but the same was adjourned to 04-Apr-2016.

i)             OA No. 588/2014, contesting the sanctioned strength position was scheduled to be heard on 02-Feb-2016, but due to non-availability of the Bench, the same was adjourned to 22-Feb-2016.

ii)            Three OAs filed by Promotee IRS officers against holding of Review DPC was scheduled high on board but due to non-availability of the Bench, the same was adjourned to 22-Feb-2016

iii)          OA No. 633/2015, on 3rd MACP filed by Shri Ratnaparkhe & Others, was adjourned to 14-Mar-2016.

Three OAs on the implementation of the Parmar SC judgement, is scheduled to be heard on 22-Feb-2016.

Holding of Review DPC

As you are aware, the Board has filed an application in the Principal-CAT, New Delhi to transfer all the OAs from the respective CAT benches to the Principal CAT, New Delhi. In the case of three OAs filed in Mumbai-CAT, all these are listed as high on board but due to non-availability of the Bench, the same was adjourned to 22-Feb-2016.

In Principal-CAT, on transfer, the applicants contested against the transfer as their case is in final stage in Mumbai. Matter is being heard today. Argument has taken place. Shri Brahmakshatri and his Counsel from Mumbai appeared & impressed upon the Bench citing the detailed position of Mumbai CAT and opposed the transfer. However, the Departmental Counsel requested for passover, as he was not ready to present the matter. When the Passover turn came and the Bench called the number, the Departmental Counsel was not present. Hence, the matter is adjourned to 19-Feb-2016.

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A meeting of all the IRS Promotee officers is scheduled to held in Mumbai on 06-Feb-2016 and the delegates from all over India is likely to participate. The main agenda points for deliberations are as follows :-

a)   To chalk out the strategy on CAT’s decision on RRs

b)   About the pros & cons of regularization of adhoc promotions.

c)   Recovery proceedings for those who have been granted 3rd MACP in GP Rs.6600/- etc.

Delegates of CESA, Mumbai will also participate in the meeting. Delegates of Inspector Assc., Mumbai, will also join the deliberations.


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Thursday, February 4, 2016

TAX REFORMS.... OR A FARCE...


TIOL - COB( WEB) - 486
FEBRUARY 04, 2016 



By Shailendra Kumar, Editor

AFTER almost 22 months since the First Tax Administration Reform Commission (TARC) Report was submitted to the Union Finance Minister, Mr Arun Jaitley, the North Block babudom sprang two surprises last Tuesday. Even if we count it from the last Budget Day when Mr Arun Jaitley in his Budget Speech (Para 117) stated that the TARC recommendations were in advanced stage of examination, it took more than 11 months for him to design the latest 'surprises'. I am sure it may have failed to surprise many tax administration analysts as they may not see any foresighted element of organisational reform in it but this was perhaps the only easy leeway for Mr Jaitley to ward off 'inhouse as well as outside' pressure demanding implementation of the TARC recommendations.

What were the key recommendations? - a) Abolition of the post of Revenue Secretary and 2) Creation of Governing Council; Tax Council and Tax Policy & Analysis Unit.

While talking about the position of the Revenue Secretary who holds the numero uno position in the Department of Revenue, the TARC Report observed, "... he is likely to have little experience or background in tax administration at the national level and little familiarity with tax, including international tax, issues that are increasingly taking centre stage in emerging global challenges in taxation. Yet he is the final signatory on decisions on tax policy and administration matters prior to their arrival for the Finance Minister’s consideration." The Report further notes, "... this is not the first time that a government committee has found that the post of Revenue Secretary is superfluous. It was considered by the Tax Reforms Committee, 1992, chaired by Prof. Raja J. Chelliah ..."

The TARC Report further underlines that the post of Revenue Secretary does not merit presence in a modern tax administration. Instead, a Governing Council should be introduced with the chairs of the Boards alternating as its chairperson. In this manner, the TARC adds to the tenor of the Chelliah Committee in that India should benchmark itself with modernizing tax administrations by not only removing the position of Revenue Secretary but by replacing it with a Governing Council that should include members from the non-government sector as well. The Report notes that Governing Council will oversee the functioning of the two Boards and approve broad strategies to be adopted by the tax administration to fulfill the objective of a more coordinated approach to the administration of the two taxes – direct and indirect – and create a structure which is independent. Such a coordinated approach also improves the focus of the tax administration towards its customers or taxpayers.

How scornfully both the recommendations of the TARC were treated by the Government can be seen from the contours of the two 'surprises'. The PIB Release states that considering the TARC recommendations, the Government has created a Tax Policy Research Unit (TPRU) and a Tax Policy Council (TPC). First, there is no notification or Office Order or Office Memo in this regard in the public domain. The only document available for reference is the PIB Press Release. Secondly, why were the key recommendations not accepted by the Government is not yet known. If there is a valid or legitimate reason for rejection of TARC key recommendations the social media-friendly Government should share it. The Nation has a right to know why the PMO or the North Block moved miles away from the key recommendations?

While showing contempt to the first recommendation of the Shome Panel, the Government has created a Tax Policy Research Unit under the tutelage of the Revenue Secretary. Strange, strange & strange!! If the Government is so logically convinced that the post of Revenue Secretary held by a generalist is so indispensable to our present system where was the need to set up a Reform Commission? Even if it was set up by the previous Government, it was a commission of domain experts whose observations did merit proper and reasoned rejection.

Going by the configuration of the new hybrid apparatus it smacks of perpetuation of 'extreme administrative feudalism' being practised by one particular Service in the Government of India. At a time when the global trend is to move towards specialists in every minute domain, the NDA Government continues to rest on the shoulders of the generalist Service which evidently believes in 'territorial expansionism' rather than allowing the specialists to operate in their own technical domains. It is shocking that this is how a modern Government intends to run modern tax administration in India. Ideally, in today's time, every Government should reduce the space given to generalists and involve more and more of specialists. No doubt, the generalists have a role to play but certainly not in the domain of technicalities.

As per the Press Release, the TPRU shall comprise of officers from both the Central Board of Direct Taxes (CBDT) and Central Board of Excise and Customs (CBEC) as well as economists, statisticians, operational researchers & legal experts. Member (L&V), CBDT and Member (Budget), CBEC will be the link officer between TPRU and CBDT and CBEC. The unit will be headed by an officer of the level of Chief Commissioner at functional level alternatively from CBDT and CBEC for a fixed tenure, who will directly report to Revenue Secretary. Here, both the Chairmen have clearly been bypassed. From this information it can be seemingly inferred that the Government has not dismantled or merged the existing TRU and TPL in the new apparatus. The TPRU is the new body which will do research and analysis independently. Certain issues of research might be referred to it by both the Boards and its findings will enable the Revenue Secretary and the Finance Minister to have a holistic picture of the tax world.

The fact that even both the Revenue Boards are often seen struggling to find willing officers to work with them, where will the TPRU find 20 officers for its research-oriented activities? Secondly, will the Government be able to hire economists & other professionals at the market rate? If yes, can the Government discriminate between its own full-time employees and those on contract? Although nothing concrete can be said at this stage but my fear is that such a body may not last for long and may fall in disuse if it fails to provide meaningful research. In such a scenario, it may be reduced to a status where it becomes a haven for desperate deputationists looking for a slot in Delhi for their personal reasons rather than organisational interests. There are too many such Directorates in the Government today which qualify as 'placid' entities.

Let's now take a look at the Tax Policy Council. The TPC will look at all the research findings coming from Tax Policy Research (TPRU) Unit and suggest broad policy measures for taxation. The Council will be advisory in nature, which will help the Government in identifying key policy decisions for taxation. This Council has FIVE generalist Secretaries to the Govt of India. And both the heads of the Revenue Boards who could actually contribute to the deliberations on technical issues are going to be SPECIAL INVITEES!! The topic of discussion at every meeting of the TPC headed by the Finance Minister would be taxation but without a tax policy expert.

In this backdrop, it may be pertinent to recall how one particular Revenue Service was recently singled out for public humiliation by none other than the Prime Minister himself! While chairing his ninth interaction through PRAGATI — the ICT-based, multi-modal platform for Pro-Active Governance and Timely Implementation, the PM is believed to have told the Chairman of the Revenue Board that there are too many complaints against his officers and the 'chhavi' (image) of his Department is not good. The PM may be right in his observation but this does not call for public humiliation of an institutionalised service which is serving the cause of the Exchequer for several decades. There is no Government Department or a Service whose members have not been arrested on corruption charges? If one goes by the latest data of the Directorate of Public Grievances, the maximum complaints have been lodged against the EPFO, Railways, Telecommunication, Banking & Insurance. Does it mean that all the officers in these sectors are equally corrupt and their 'chhavi' is bad? If it is so, does it not amount to failure of the Government which cannot abdicate its public accountability by merely humiliating heads of one or two Services?

Going by the growing consolidation of administrative space by the one particular All India Service in the NDA Government it may appear to many Govt watchers that a subtle conspiracy is being hatched against specialist services and that is how the top layer in the Government has been publicly assailing its own technical arms and increasingly leaning on generalists to rule or ruin the country. Let's hope it is not true and the Government takes immediate corrective measures to alter the growing public perception about the ruthless consolidation of administrative space by one particular All India Service. But, if it is true, the trade and industry should be gearing up to witness even the proposed GST system being implemented by the generalists !!

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