AMTREX HITACHI Vs. CC

JUDGEMENT

(1.) Common issue arising in these appeals is whether amendment to Section 61(2) make under Section 106 of the Finance Act, 2001 substituting the period of 'six months' by 'thirty days' will have retrospective effect in the sense that it will affect the goods which were warehoused before 1.6.2001. Prior to 1.6.2001, Section 61(2)(ii) of the Customs Act provided that if the warehoused goods specified in Section 61(1)(b) remained in the warehouse beyond a period of six months, interest at the specified rate is applicable for the period from the expiry of six months till the date of payment of duty on the warehoused goods. Under the common order passed by the Commissioner (Appeals) the view taken is that goods which were warehoused prior to 1.6.2001 will also be liable to pay interest from the expiry of thirty days or 1.6.2001, whichever is later. Commissioner has placed reliance on Board's Circular No. 473/12/2001 dated 11.10.2001 and Mumbai Custom House Public Notice No. 118/2001 dated 24.10.2001.

(2.) Earned Counsel for the appellant submits that the view taken by the Commissioner is directly against the ratio of the decision of the Larger Bench of this Tribunal of Collector of Customs and Central Excise v. J.K. Synthetics Ltd.

(3.) In the above decision the Tribunal has occasion to consider the amendment which was brought in Section 61 of the Customs Act, 1962 on 13.5.1983 to provide for reduction in bonding period and paying of interest on overdue consignments.