Customs, Excise and Gold Tribunal - Mumbai
Mohit Steel Inds. Ltd., Karthik Steel ... vs Commissioner Of Customs And Central ... on 10 October, 2003
Equivalent citations: 2003(158)ELT824(TRI-MUMBAI)
ORDER Jyoti Balasundaram, Member (J)
1. The applications for waiver of predeposit of duty and penalty (details of which are to be found in the annexure to this order), arise out of three separate adjudication orders of the Commissioner of Central Excise. The demands have been confirmed, by holding that during the period in dispute, there was prohibition on the availment of the benefit of abatement, if the factory had been closed for a particular period (more than 7days) The Ld. Counsel Shri M.H.Patil draws our attention to Rule 96ZO(3), which in the month of August 1997 contained such prohibition, and to the Rule as it stood after 1.9.97 when there was only a prohibition on the availment of the benefit of Sub-section (4) to Section 3A, and there was no prohibition on availment of the benefit of abatement provided in Sub-section (3) of Section 3A. Therefore they submits that the entire demand stands upon an erroneous understanding of the rule as it stood during the period for dispute in all the cases.
2. Ld. DR reiterated the findings of the adjudicating authority, highlighting the fact that the applicants never specifically pleaded before the Commissioner that the rule as it stood during the period in dispute did not contain the any prohibition for availment of the benefit of abatement for closure of furnace.
3. We have heard both sides and perused the rules as then stood both prior to the period in dispute and during the period of dispute. We are of the view that the language of the rule as it stood during the relevant time did not contain any prohibition for availment of benefit of abatement. We therefore, see prima facie force in the contention of the applicant and hence dispense with the requirement of predeposit of duty and penalty and stay recovery thereof pending the appeals.
Annexure NAME OF APPELLANT WEST COAST MQHIT STEEL KARTIK IND STAY/APPEAL NO.
E/3/13.10/03 E/2042/03 E/SZ1311/03 E/2043/03 E/8/1354/03 E/20+4/03 DUTY (Ha) 70,99,531 Interest 1,08,06,302 + Interest 1,12,10,862 + Intarest PENALTY (Rs) 70,99,581 1,08,06,302 1,12,10,802 PERIOD 31.3.1998 TO 31.8.1999 31.3.1998 TO 31.8.1999 01.8.1998 TO 31.3.2002 SCNe 26.9.1998 16.3.1999 23.9.1999 28.9.1998 10.3.1999 28.9.1999 30.11.1998 24.05.1999 02.12.1993 01.06.2000 ORDER 31.3.2003 31.3.2003 31.03.2003