COMMR. OF C. EX. Vs. MEGATECH CONTROLS LTD.

JUDGEMENT

(1.) This appeal filed by the Revenue is directed against the order -in -Appeal No. 76/2000 (M -II), dt. 2 -6 -2000 by which ld. Commissioner (Appeals) has held that the amount reversed under Rule 57CC of the Central Excise Rules, 1944 is not considered as duty and therefore, the provisions of Section 11D are not attracted. Ld. Commissioner (Appeals), therefore, did not see any warrant for demanding the duty as per the order passed by the lower authority and set aside the order of the lower authority by allowing the appeal of the respondent/assessee.

(2.) Revenue has come in appeal on the grounds that the amount was collected as Central Excise duty as evidenced by the invoices raised by the assessees and not as towards the liability under Rule 57CC and therefore, provisions of Section 11D would squarely apply to the facts of the case. He submitted that reliance placed on the Circular bearing F.No. B -42/1/96 -TRU, dt. 27 -9 -1996 issued by the CBEC and the provisions contained in Rule 57CC do not have any relevance to the facts involved in this case.

(3.) Ld. DR Shri C. Mani while reiterating the grounds of the appeal submitted that whatever has been collected as duty has to be paid to the department in terms of the provisions of Section 11D. He, therefore, prays that the impugned order passed by the Commissioner (Appeals), Chennai may be set aside and the Order -in -Original No. 14/2000, dt. 29 -2 -2000 passed by the Assistant Commissioner of Central Excise, Chennai -I Division may be restored.