MUKUND LIMITED Vs. COMMISSIONER OF CENTRAL EXCISE, BELAPUR

JUDGEMENT

(1.) The submissions of the learned counsel appearing for the parties were heard yesterday. The appeals were admitted on 14th February 2008. As the facts of the appeals are more or less similar, the appeals have been admitted on the same substantial questions of law. The appeals have been admitted on the following substantial questions of law:-

(2.) For the sake of convenience, we are referring to facts of Central Excise Appeal No. 77 of 2007. By a letter dated 3rd September 1986 (styled as DD2), the Superintendent of Central Excise Range-VII, Division-III, Thane demanded from the appellant a sum of Rs. 8,87,294.90 being differential excise duty of 3% as mentioned in the said letter. Being aggrieved by the said demand, the present petitioner filed Writ Petition No. 1299 of 1988. The said Writ Petition was admitted for final hearing and interim order was passed in favour of the appellant subject to appellant depositing a sum of Rs. 7 lakhs in this Court. The said Writ Petition was dismissed for default by the order dated 4th October 1999. It is an admitted position that the appellant did apply for restoration of the said Writ Petition which was dismissed for non-prosecution.

(3.) On 16th April 2004, the appellant filed an application claiming rebate of Rs. 3,92,934/- on the ground that the appellant has paid Central Excise duty on export assignments which were exported out of India under Rule 18 of the Central Excise Rules, 2002. By order dated 7th June 2004, the Assistant Commissioner of Central Excise, Belapur-IV, Division-Belapur sanctioned the rebate claim of Rs. 3,92,939/-. However in the operative part, he issued following directions : ORDER In view of the above I hereby sanctioned the rebate amount of Rs. 3,92,939/- (Rupees three lacs ninety two thousand nine hundred thirty nine only) to M/s. Mukund Ltd., Thane. However. I find that there is a Govt. dues amounting to Rs. 5,06,056/- (duty Rs. 1,87,295.00 + Interest Rs. 3,18,761.00) as listed below arisen out of DD2, dated 3-9-1986 are still pending against them. The Hon'ble Bombay High Court has dismissed the assessee's Writ Petition No. 1299 of 1986 on 4-10-1999 against said DD2, dated 3-9-1986.