RAMCO INDUSTRIES LTD. Vs. COMMISSIONER OF CUSTOMS, BANGALORE

JUDGEMENT

(1.) THE appellants claim for refund of CVD paid on imported raw asbestos fibre was rejected by the Original Authority in view of the directions of the Honble Supreme Court of India in the case of Hyderabad Industries Ltd. v. Union of India [1999 (108) E.L.T. 321 (S.C.)] wherein the appellants was also one of the parties. The order of the lower authority was upheld by the Commissioner of Central Excise, Bangalore. The appellants have come before this Tribunal for relief challenging the impugned order dated 4 -9 -2001.

(2.) SHRI M. S. Srinivasa, learned Advocate appeared for the appellants and Shri L. Narasimha Murthy, learned SDR appeared for the Revenue.

(3.) THE Learned Advocate adduced the following arguments. The Honble Apex Court has held that the Countervailing Duty is not payable in respect of asbestos fibre imported prior to 1986 as the said goods are not exigible to Central Excise duty. The Department compelled the appellants to pay duty even when the stay of the Supreme Court was in operation and in spite of the fact that Bank Guarantees were kept alive. He said that the Department illegally collected the duty from the appellants. The appellants paid the duty under protest. Otherwise the Department would not allow them to clear the goods from the factory. When an amount has been illegally collected, the same should be refunded to them. He relied on the Honble Supreme Court decision in the case of Kuil Fireworks Industries v. Collector of Central Excise [1997 (95) E.L.T. 3 (S.C.)].