Section 19 of FEMA : Section 19: Appeal To Appellate Tribunal

Explanation using Example

Imagine a company, XYZ Pvt Ltd, which has been penalized by an Adjudicating Authority for not complying with certain provisions of the Foreign Exchange Management Act (FEMA), 1999. The company believes that the penalty is unjust and wants to challenge the order. According to Section 19 of FEMA, XYZ Pvt Ltd has the right to file an appeal against this order to the Appellate Tribunal.

They must file their appeal within 45 days of receiving the copy of the order, along with the prescribed fee and in the manner specified by the regulations. However, XYZ Pvt Ltd is facing financial difficulties and believes that depositing the penalty amount for the appeal would cause them undue hardship. They can request the Appellate Tribunal to dispense with the deposit requirement, and if the Tribunal agrees, it may allow the appeal to proceed without the deposit under certain conditions to ensure the penalty can still be collected if necessary.

The Appellate Tribunal will then give XYZ Pvt Ltd and the other party an opportunity to be heard before making a decision on the appeal, which could be to confirm, modify, or set aside the original penalty order. The Tribunal aims to resolve appeals within 180 days, but if it can't, it must provide written reasons for the delay.