ALL INDIA CENTRAL EXCISE INSPCTORS ASSOCIATION,

HYDERABAD ZONE BRANCH

SALIENT FEATURES OF CADRE REVIEW/RESTRUCTURING PROPOSALS

1. New Norms for CE Commissionerates:

Revenue Norms: Rs. 1750 Crores Central Excise (PLA+Cenvat) other than POL Revenue
and Service Tax Revenue. Each Commissionerate will have one 5 divisions and 25
Ranges. Commissonerates with OIL Refineries will be provided additional staff
equivalent to One Range for one Refinery. Commissionerates without exclusive Service
Tax Comm’te will be provided staff equivalent to one Division.

2. New Norms for Service Tax Commissionerates:

Revenue and Assessee Norms: Rs. 3000 crore Service Tax Annual Revenue (PLA
+Cenvat) and/or more than 17500 assessees. Each Commissionerate of Service Tax shall
have five Divisions and 25 Ranges.

3. Norms for creation of Zones:

It is proposed to have one Zone for each set of three executive

Commissionerates. Each CE & ST Zone is proposed to have one Commissioner (Audit)
and one Commissioner (Appeals). Each Customs Zone would have one Commissioner
(Appals).

4. Revenue Basis for new proposals for CE and ST Comm’tes:

For preparing the proposal for reorganization of CE and ST and Customs

Comm’tes, the budgetary estimates for the year 2010-11 have been utilized for projection
of the revenue collection of the individual zone for the year 2010-11.

5. Audit Commissioner and Audit Teams:

There will be one Audit Commissioner for each CE and ST Zone. Audit Teams
are proposed to be headed by AC/DC with two Superintendents and two Inspectors. The
implication is that entire audit work will be allotted to the Audit Commissioner in each
Zone and the CE/ST Commissionerates will be bereft of any audit work.

6. Reorganisation of the existing Zones/Commissionerates:

Existing New Additional

Zones (All) 34 65 31
CE-Commissionerates 93 119 26
ST - -do- 07 22 15
Customs – do- 35 60 25
Audit -do- 0 45 45
Commissoner Appeals 57 65 8
Commissioner (Cadre Control) 0 19 19

7. Reorganisation of Directorates:

DGRI, DGCEI (DG-Vigilance),DGICCE and NACEN to be expanded by

creation of 4 Regional Directorates General/Training Centres of each of these.
 2. Office of DG –Service Tax is proposed to be shifted to New Delhi from
Mumbai.
3. Office of Chief Commissioner, Tax Arrear recovery is proposed to be
converted into full-fledged DG.

8. Restructuring of Cadres:

Designation Present New Additional

Pr.Chief Commr 0 18 18
Chief Commr 47 77 30
Commr Grade-I 0 100 100
Commr Grade-II 295 369 74
Addl/JC 593 1026 433
DC/AC 1550 4896 3346
AC-Reserves 0 250 250
Supdts CE/Customs and
Appraisers 13948 21585 7637
Inspector CE/PO/Examiner 20163 31104 10941
CAO 155 221 66
AO 984 1564 580

9. Impact in Andhra Pradesh:

Description Present New Additional

Zones 2 4 2
(2 CE and 2 Cust)
Comm’tes 9 11 2
(8 CE and 1 Cus) (7 CE, 3 Cus , 1 ST)

Hyderabad Zone:

1. One new Service Tax Comm’te in Hyderabad is proposed

2. One new Customs Comm’te (Airport and ACC) is proposed in Hyderabad.
3. Based on one Zone for every three Executive Zones, one additional Zone may
be created totaling 2 in Hyderabad.
4. Present 4 CE Comm’tes may be reorganized into:

CE Comm’tes 4
ST 1
Customs 1

Total 6

Present four comm’tes may be converted into 6 comm’te – an increase of

2

5. It is not clear whether one Audit Commissionerate or only Commissioner

(Audit) is proposed for every Zone. If Audit Commisionerate is proposed then
Hyderabad will have two audit Comm’tes for two Zones. In that scenario:

Hyderabad Structure will be:

Zones : 2
Commissionerates : 8
CE -4
 Audit - 2
ST -1
Cust - 1

VIZAG ZONE:

1 One new Customs (P) Comm’te is proposed in Kakinada.

2 One Customs Zone is like to come up in Vizag.
3 Present 5 CE Comm’tes may be reorganized into:

CE Comm’tes 3 (reduction may be on account

Customs 2

Total 5

Present four comm’tes may be converted into 5 comm’te – an increase of

1
5. It is not clear whether one Audit Commissionerate or only Commissioner
(Audit) is proposed for every Zone. If Audit Commisionerate is proposed then
Vizag will have two audit Comm’tes for two Zones. In that scenario:

Vizag Structure will be:

Zones : 2

Commissionerates : 7
CE -3
Audit - 2
Cust - 2

MAN POWER REQUIREMENT IN HYDERABAD ZONE:

Description Comm’te type Total Comm’tes Staff Norm Total Staff required
proposed

Supdt. CE 4 80 320
ST 1 80 80
Cust. 1 80 80
Audit 2 80 160

Total 640

Insp. CE 4 120 480

ST 1 120 120
Cust. 1 120 120
Audit 2 80 160

Total 880

Supdt cadre in Hyderabad Zone:

Present sanctioned New proposed Difference

410 640 230

MAN POWER REQUIREMENT IN VIZAG ZONE:

Description Comm’te type Total Comm’tes Staff Norm Total Staff required
proposed

Supdt CE 3 80 240
Supdt/Appraiser Cust. 2 80 160
Audit 2 80 160

Total 560

Insp. CE 3 120 360

Insps/Examiners Cust. 2 120 240
Audit 2 80 160

Total 760

Supdt cadre in Vizag Zone

Present sanctioned New proposed Difference

370 560(*) 190

(*) Including Appraisers for Customs Comm’te

10. TOTAL LIKELY ADDITIONAL POSTS OF SUPDTS IN AP:

Hyderabad- 230
Vizag - 110 (excluding Appraisers for Customs Comm’te)

11. Total promotions expected to Supdt cadre in A.P.:

Around 300

12. Conditions attached:

1. It is not known what is the fate of posts of SEZ’s

2. It is not known whether Customs Comm’te in Hyderabad will be kept with one
of the Hyderabad Zones or Vizag Zone Customs and whether posts will be
filled from Cental Excise or from Customs side i.e. Examiners/POs.
3. Posts in Pr.CC’s office, CC’s office, Appeals Comm’tes and Adjuciation
Comm’tes not included.

13. MERITS OF THIS RESTRUCTURING:

1. Forgetting other things, atleast Inspctors upto 1995 may be promoted.

2. Not including revenue from POL (Oil) in the norms for creation of Comm’tes.

14. DEMERITS OF THIS RESTRUCTURING:

1. Growth in Supdt and AC/DC cadre is not in commensurate with the growth of
cadre at higher level from JC/ADC onwards.
2. What is the necessity to have Pri.Chief Commissioner’s posts/Offices wherein
Supdt./Inspectors posts will be meager or none.
3. Why should there be Commissioner Grade I and Grade II
4. Pr. CC posts have gone up by 100%
5. CC posts have gone up by 64%
6. Commissioner posts have gone up by 59%
7. JC/ADC posts have gone up by 73%
8. AC/DC posts have gone up by 215%
9. Supdt posts have gone up by 55%
10. Inspector posts have gone up by 54%

Note: Increase in posts of AC/DC, Supdt and Inspector include posts

belonging to Appraisers, Superintendent (Customs), Examiners and
Preventive Officers. So we do not know as to how many posts to Central
Excise cadre will be getting.
11. Total length of seniority of Inspector and Supdt put together is not considered for
promotion to AC/DC cadre.
12. Ratio of 75:25 for DR and Promotee quoto for promotion to AC cadre is not
changed to 25:75
13. Revision of ratio of 6:1:2 for promotion from Superintendent grade to AC grade
not accepted.
14. Creation of 3000 additional posts at DC/AC level in addition to the proposed
posts is not accepted.
15. On promotion to IRS (C&CE),Superintendent should be placed in STS but not in
JTS.
16. Delayering of functional distinction between Inspector and Supdt not accepted.
17. Creation of separate Adjudication set-up at the Comm’te and Division levels has
not been acceded to.
18. Joint/Additional Commr to head the Divisions has not been accepted.
19. Merger of Customs and Central Excise is not acceded to.
20. Supdts having completed one and a half times the qualifying service required for
promotion to grade of Asst.Commissioner to be promoted to DC not acceded to.
21. Even after completion of this restructuring exercise, Inspector with 15 years
seniority in A.P.may not be promoted though his qualifying service is 8 years
only for promotion to Supdt cadre.
22. Superintendent with more than 12years of seniority in A.P. may not be promoted
as AC even though the qualifying service is only 3 years.
23. Whereas, No Examiners, Preventive Officer and Appraiser will be left for want
of promotion after this restructuring exercise.
24. Similarly all ACs/DCs/JCs/ADC’s may get promoted irrespective of their
qualifying service.
25. Creation of just one Service Tax Commissionerate in Hyderabad is not
commensurate with the number of ST assesses.
26. Hyderabad Customs Commissionerate should be attached to one of the two
Hyderabad Zones for administrative and cadre control purpose.