LA-BEL LAMINATES LTD. Vs. CCE

JUDGEMENT

(1.) At the behest of the Revenue an early hearing in this case was granted and the matter was posted for hearing on 10.2.2004. Subsequently at the request of the appellant the matter was adjourned 19.3.2004, on which date the Ld. Chartered Accountant appearing for the appellant informed the Bench that he was withdrawing his Vakalatnama. Finally the matter was again posted for regular hearing on 31.8.2004. None appeared on behalf of the appellant.

(2.) Heard Ld. JDR Shri K.K. Srivastava and perused the records.

(3.) The matter pertains to a demand of differential duty which arose out of a classification dispute way back. Paper Based Laminated sheets manufactured by the appellant according to him are correctly classifiable under Chapter Heading No. 4818.90 and according to the Revenue, the goods fall under Chapter Heading No. 3920.31. In appeal the Tribunal held that the goods are classifiable under Chapter 48 of CETA. The Revenue went in appeal to the Apex Court. The Apex Court decided the matter in favour of the Revenue classifying the said goods under Chapter 39. In the meanwhile on the directions of the Hon'ble High Court of Gujarat, the department paid Rs. 1,78,44,949/ - by way of cheque and Rs. 46,40,116/ - by way of credit being refund of excess duty paid by the appellant. The Revenue however kept the demand alive by issuing show cause notices claiming the amounts so refunded. As a result of the Apex Court's decision in the case of Baklelite Haylam and Ors. v/s. CCE reported in which included the Civil Appeal filed by the Revenue against the order of the CEGAT holding the goods classifiable under Chapter Heading No. 48, the Hon'ble High Court of Gujarat decided the Special Civil Appeal filed by the appellant before them in favour of the department and ordered the appellants to pay back the amount refunded to them within four weeks with interest at the rate of 18% till payment. As a result of the above two decisions the Assistant Commissioner of Central Excise Div -Il Rajkot demanded a sum of Rs. 2,24,85,064/ - under Sec. 11A of the Central Excise Act, along with interest at the rate of 18% in terms of the above said order of Gujarat High Court's dt. 10.1.2000. Against this order of the Assistant Commissioner the appellants went in appeal before the Commissioner (Appeals).