GABRIAL INDIA LTD. Vs. CCE

JUDGEMENT

(1.) T K.K. Usha, J. (President) 1. In this appeal at the instance of the assessee challenge is against the order passed by the Commissioner (Appeals) dt. 28.5.03 setting aside the order of the Asstt. Commissioner period pursuant to direction issued by this Tribunal in its order reported as Gabriel India Ltd. Vs. CCE, Chandigarh - 2000 (120) ELT 770. In the above order Tribunal took the view that in the light of the observations of the Supreme Court in the case of Asstt. collector Vs. MRF reported in 1987 (27) ELT 553 and G.O.I. Vs. MRF reported in 1995 (77) ELT 433 and the decision of CEGAT in ICI India Ltd. Vs. Commissioner - Final Order No. 2823/99 dt. 4.11.99 it is clear that for the purpose of allowing deduction of interest on receivables, it is not relevant as to whether interest is collected separately or not. This being the correct legal position the denial of deductions towards interest on receivables was not justified on the ground that the same was not being charged separately. Tribunal therefore, remanded the matter to the jurisdictional authority for granting necessary relief to the appellant after ascertaining the correct position about the amount of deduction due on account of interest on receivables.

(2.) The above would show that what was left to the Asstt. Commissioner was only the quantification of the amount which has to be granted as deduction on account o receivable goods. By order dt. 26.9.2000, the Asstt. Commissioner examined the issue and held as follows :

(3.) The Commissioner (Appeals) set aside the above order observing that it is a non -speaking order. The Commissioner (Appeals) has gone into the issue of permissibility of the deductions also. We have no hesitation to hold that the Commissioner has erred in setting aside the order passed by the Asstt. commissioner. The Asstt. commissioner has only implemented the direction given by this Tribunal in the order of remand. Thereof is not case for the Revenue before us that the calculation is wrong. Commissioner (Appeals) has not authority to go into the issue whether the assessee was entitled to deduction of the interest on receivable since the issue has been decided by this Tribunal in the order of remand and it is accepted by the Revenue. We, therefore, set aside the order impugned and allow the appeal.