COMMISSIONER OF CUSTOMS, BANGALORE Vs. ANZ INTERNATIONAL

JUDGEMENT

(1.) This appeal is filed by the Department of Customs challenging the order dated 19-6-2008 passed in Final Order Nos. 713-714/2008 by the CESTAT (Appellate Tribunal).

(2.) The relevant facts of the case are that the respondent is a 100% Export Oriented Unit ( EOU' for short) engaged in the manufacture of parts of agricultural and farm equipment which are chargeable to Nil' rate of duty by Central Excise Tariff Act, 1985 (Tariff Act). The respondent filed three refund claims with the Assistant Commissioner of Customs, Bangalore for Rs. 2,35,185/- Rs. 11,51,997/- and Rs. 6,18,010/- respectively under Rule 5 of the Cenvat Credit Rules, 2004 , being the unutilised credit availed by the respondent for the period March 2005 to March 2007 in respect of certain inputs used in the manufacture and export of their final product. The said refund claims were, however, rejected by the Assistant Commissioner, Customs, vide Orders-in-Original dated 16- 3-2007, 27-3-2007 and 3-12-2007 on the ground that the respondent was not eligible for the availment and utilisation of Cenvat Credit Rules, 2004 , as their final product was not chargeable to any duty under the Tariff Act. Similarly, four more refund claims for Rs. 9,42,963/- for the period October 2005 to March 2006; Rs. 4,52,883/- for the period April 2006 to June 2007; Rs. 5,23,185/- for the period July 2006 to September 2006, and Rs. 12,20,008/- for the period from October 2006 to November 2006, totalling to Rs. 31,39,039/-, were also rejected by the Assistant Commissioner of Customs vide order dated 24-3-2007 for the aforesaid reason. It was, further, held that the benefit availed in terms or Rule 6 of Cenvat Credit Rules could not be extended to the respondent, as the exports made by the unit were not covered under the Rule. Being aggrieved by the same, the respondent filed appeals before the Commissioner of Customs (Appeals) which authority set aside the Orders-in- Appeals by orders dated 17-1-2008 and 11-12-2007 in Appeal Nos. 3/2008 and 152/2007 respectively.

(3.) Aggrieved by the order of Commissioner of Customs (Appeals), the Department preferred an appeal before the CESTAT, which was, however, dismissed on 19-6-2008 in Final Order Nos. 713 and 714/2008 mainly on the ground that in respect of the same respondent, the earlier appeals filed had been dismissed in Final Order Nos. 1305 and 1306/2007, dated 14-11-2007 [2008 (224) E.L.T. 573 (T)] against which Order CSTA No. 11/2008 was preferred before this Court, which was also dismissed by order dated 28-6-2008 [2009 (233) E.L.T. 40 (Kar.)].