JSK INDUSTRIES PVT. LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) Rule. Respondents waive service. By consent Rule made returnable forthwith. By this Writ Petition under Article 226 of the Constitution of India the Petitioners have challenged the order passed by the Second Respondent on 29th May, 2013. The Second Respondent before us is the Settlement Commission, Customs and Central Excise. Respondent Nos. 1, 3 and 4 are the authorities exercising powers under the Central Excise Act, 1944 and the Rules made thereunder. It is the case of the Petitioners that they have set up a factory and for manufacture of aluminium wire rods and aluminium conductors falling under Chapter 76 of the Central Excise Tariff Act, 1985. A show cause notice was issued on 30th August, 2011 proposing to demand differential duty on the aluminium conductors manufactured and cleared by the Petitioners and demand of the Cenvat credit equal to Cenvat credit alleged to have been irregularly taken on inputs Annexure 'B' is a copy of the show cause notice. According to the Petitioners there were two types of issues raised in respect of which the demand of differential duty has been made. These two issues are distinct and independent. The demand for differential duty on aluminium conductors manufactured and cleared is one aspect and the demand for the Cenvat credit alleged to have been incorrectly and irregularly obtained is the other aspect.

(2.) After setting out as to how the issue relating as to alleged under violation of goods manufactured and cleared by the Petitioners has been raised, the Petitioners then refer to the issue of availment of Cenvat credit. These are extensively set out in the Writ Petition.

(3.) It is then alleged that the Petitioners had also initiated proceedings under Rule 12AA of the Cenvat Credit Rules, 2004 and Rule 12CC of the Central Excise Rules, 2002. That is pertaining to a notice dated 6th October, 2008 and seeking to withdraw the facility of monthly payment of Central Excise duty on the goods manufactured and cleared by the Petitioners for three months and also direction to the Petitioners to pay Central Excise duty for each consignment at the time of removal of the goods without utilizing the Cenvat credit for payment of such Central Excise duty.