
Notification No: G.S.R. 516(E), Dated 31-07-2025
Government Amends Rules for Customs & Central Excise Settlement Commission
The Government has issued a notification to amend the Customs and Central Excise Settlement Commission (Recruitment and Conditions of Service of Chairman, Vice-Chairmen and Members) Rules, 2015. This amendment aims to revise provisions concerning the tenure and termination of officials appointed to key positions within the Commission.
New Proviso Introduced in Rule 7
A significant change introduced by the amendment is the insertion of a new proviso after the second proviso in Rule 7 of the 2015 Rules. According to this new provision, any individual appointed as Chairman, Vice-Chairman, or Member of the Settlement Commission and holding office immediately before a date notified by the Central Government shall cease to hold office from that date.
Compensation for Premature Termination
To address the implications of early termination, the amendment includes a provision for compensation. Individuals whose tenure ends prematurely under the revised rule shall be entitled to claim compensation not exceeding three months’ pay and allowances. This provision offers financial support to affected officials and aims to ensure a fair and respectful transition.
Amendment Effective from April 1, 2025
The amended rules are deemed to have come into force on April 1, 2025, even though the notification date and the date to be officially notified for termination are yet to be announced. This retrospective application confirms the Government’s intent to enforce the changes with effect from the beginning of the financial year, ensuring uniformity and administrative clarity.