CCE Vs. INDIAN OIL CORPORATION LTD.

JUDGEMENT

(1.) AFTER hearing both sides, we condone the delay of 52 days involved in the filing of the Revenue's appeal, not because we are impressed with the explanation offered by the appellant but because the appeal itself is liable to be summarily dismissed on merits.

(2.) THE respondents had utilized the service of Goods Transport Operators Service during the period from 16.11.1997 to 1.6.1998, but they did not pay service tax, nor did they file returns for the said period. The department, by show -cause notice dated 24.10.2002, demanded service tax from the respondents for the above period, which was contested by the party. The original authority confirmed the demand of tax under Section 73 of the Finance Act, 1994 with interest under Section 75 of the Act. This decision was set aside by the Commissioner (Appeals) in an appeal filed by the assessee. The appellate authority found that the issue was squarely covered in favour of the assessee by the Hon'ble Supreme Court's judgment in the case of L.H. Sugar Factories Ltd. v. CCE 2005 -TIOL -105 -SC -ST : 2005 (187) ELT 5 (SC). Its decision is under challenge in the present appeal of the department.

(3.) THE appellant submits that, after the decision in L.H. Sugar Factories case, the Supreme Court admitted a civil appeal filed by the Commissioner of Central Excise, Vadodara in the case of Gujarat Carbon and Industries as also a civil appeal filed by the Commissioner of Central Excise, Chennai in the case of Sundaram Fastners Ltd. and therefore the view taken by the Court in L.H. Sugar Factories case cannot be considered to be final. The appellant has also referred to the amendments to the Finance Act 1994 by the Finance Act, 2003 and has contended that such amendments had the effect of enabling the department to demand service tax from recipients of GTO service for the period from 16.11.97 to 1.6.98. Learned SDR has reiterated these contentions of the appellant. Learned Counsel for the respondents has pointed out that similar appeals of the Revenue raising the same contentions were dismissed by this Bench. He has cited the decision in CCE v. Seshasayee Paper and Boards Ltd. 2007 (81) RLT 431 (CESTAT - Che.).