UNION OF INDIA Vs. MAHINDRA AND MAHINDRA LIMITED

JUDGEMENT

(1.) This is an appeal preferred by the Union of India against the judgement dated April 29, 1983 delivered by Mr. Justice Lentin in Writ Petition No. 1149 of 1980 - 1983 (13) ELT 904 (Bom.). The judgement directs the Union of India to refund the amount of Rs. 12,17,537.17n within 12 weeks from the date of the order. The fact which gave rise to the filling of the petition are as follows :

(2.) The respondent Company is successor-in-title of International Tractor Company of India Limited and since 1964, the Company manufactured agricultural tractors and the components of the tractors including hydraulic lifts and 3-point linkages are imported. Agricultural tractors are declared to be essential commodities' and the selling prices were fixed by the Government of India. By Notification dated August 6, 1960, certain exemptions were granted for component parts of the machinery required for the purpose of initial setting up or for its assemble or manufacture. By another notification dated January 5, 1963, issued in exercise of powers conferred by Sec. 23 of the Sea Customs Act, the Central Government exempted :

(3.) Between December 1964 and July 1968, the Company imported about 58 consignments of hydraulic lifts and 3-points linkages and the Customs Department recovered duty aggregating to Rs. 3,73,980.47 . The Company asserted that the duty was paid under protest and in respect of bills of entries filed, an endorsement was made on the reverse that the duty was paid under protest. The first bill of entry was filed on December 15, 1964. On may 30, 1968, the Collector of Customs, Bombay issued public notice in respect of the question of assessment of hydraulic lifts and 3- point linkages. The public notice recites :