KIRAN SPINNING MILLS Vs. COLLECTOR OF CUSTOMS

JUDGEMENT

(1.) The short question that arises for consideration relates to the levy of additional duty under Section 3 of the Customs Tariff Act, 1975.

(2.) The appellants had, between 4th of April, 1977 and 20th September, 1978 imported acrylic polyster fibre. The imported articles were placed in the bonded warehouse after they had landed in India.

(3.) On 3rd of October, 1978. The Additional Duty of Excise (Textiles and Textile Articles) Ordinance, 1978 was promulgated which came into force w.e.f. 19th October, 1978. In terms of the Ordinance articles were charged with an additional duty of excise equal to 10 per cent of the basic excise duty payable on such articles under the Central Excise and Salt Act, 1944. It is not in dispute that correspondingly under Section 3 of the Customs Tariff Act, 1975 additional duty on such articles which were imported became payable equivalent to the additional excise duty levied under the said Ordinance.