Customs, Excise and Gold Tribunal - Delhi
M/S. Girdharilal Sugar And Allied ... vs Cce, Indore on 18 June, 2001
Equivalent citations: 2002(148)ELT406(TRI-DEL)
ORDER Lajja Ram, Member (J)
1. These are two appeals filed by M/s Girdharilal Sugar & Allied Industries Ltd. being aggrieved with the common order-in-appeal dated 28.09.2000. The matter relates to the utilisation of basic excise duty paid on capital goods towards payment of additional excise duty under the Goods of Special Importance Act.
2. For hearing their appeals, the appellants were required to pre-deposit a sum of Rs. 39,05,461.00 basic + Rs. 2,00,000/- penalty in one case and Rs. 3,66,300/- basic + Rs. 50,000/- penalty in other case.
3. Shri M. Chandrashekharan, Sr. Advocate appearing for the appellants submitted that the inputs i.e. capital goods in this case were duty paid and the modvat credit had been rightly taken when the capital goods were received in the factory premises. By mistake the appellants utilised a part of the credit towards paying additional excise duty under the Additional Duties of Excise (Goods of Special Importance) Act. He submits that otherwise the appellants were entitled for the credit. He also submits that the unit is presently before the BIFR. He submits that there are decisions of this Tribunal in which the basic excise duty has been allowed to be taken credit of while paying the additional excise duty.
4. Shri Rajeev Tandon, SDR in reply submits that the additional excise duty was under a separate enactment and the credit taken towards the basic excise duty could not be utilised while paying the additional excise duty. He submits that full duty amount should be pre-deposited by the appellants.
5. After hearing both the sides and after going through the facts on record, we consider that the matter has to be gone into in detail particularly, when the additional excise duty under the Additional Duties of Excise (Goods of Special Importance) Act are under separate enactment and have their own specific arrangements towards distribution between the centre and the states. At this prima facie stage, we direct the appellants to pre-deposit a sum of Rs. 5,00,000/- (Rupees Five Lakhs Only) towards duty amount in both these appeals. On depositing the above sum of Rs. 5,00,000/- (Rupees Five Lakhs Only) within a period of 8 weeks from today, the balance duty amount and full penalty amount will be waived in both the appeals and recovery stayed till the disposal of the appeals.
6. To come-up for reporting the compliance and further orders on 29th August, 2001.
7. Order dictated & pronounced in the Open Court on 18.06.2001.