STANDARD SURFACTANTS LIMITED Vs. UNION OF INDIA UOI

JUDGEMENT

(1.) The petitioner is a limited Company incorporated under the Companies Act, 1956 and is engaged in the manufacture of Soap and Detergents. It is alleged that the petitioner availed the credit of duty under the Modvat Scheme for the purpose of payment of excise duty of Ariel Detergent Cakes of 125 Gms. and Ariel Sachets of 20 Gms. from July, 1994 to September, 1994 to the tune of Rs. 15,83,919.00 and during 1995 till date to the tune of Rs. 17 Lacs. It is alleged that the petitioner was served with the show cause notice dated 21st September, 1994 alleging that the Modvat Credit availed by the petitioner during the relevant time is not admissible on the same on final product. The petitioner sent a reply to show cause notice. It is alleged that since then the matter is pending adjudication before the Collector, Central Excise and nothing has been done in this regard. Discomfiture of the petitioner is in between time the respondents are compelling the petitioner to reverse the balance amount of Rs. 10,00,000.00/- (Ten lacs) availed on Ariel Detergent Cakes, Bars and Sachets.

(2.) In view of this the petitioner has come to this Court by means of this writ petition under Article 226 of the Constitution, praying that the respondents may be directed not to compel the petitioner to reverse the credit availed on the commodities.

(3.) We have heard learned counsel for the petitioner and Sri Shishir Kumar learned counsel for the revenue. After examining the facts, we are of the view that since the matter is pending for a considerable period of time before the Collector, Central Excise, Kanpur, he may be directed to decide the same within a month from the date a certified copy of this order served upon him. In view of this, we direct the Collector, Central Excise, Kanpur to decide the matter pending before him which was initiated against the petitioner in pursuance of the show cause notice dated 21-11-1994.