2012 (11) TMI 1068 - CGOVT - Central Excise

Denial of rebate claim - claims were filed after one year s time limitation as stipulated under Section 11B - Held that - exports pertaining to relevant ARE-1s dated 11-3-2006 were made partly by Air and partly by sea - export case as having been made partly by sea & partly by Air, thereby attracting the jurisdiction of two different authorities for the purpose of grant of due export benefits. For this case matter Government is of the opinion that when the applicant had indeed bonafidely approached one of the proper rebate sanctioning authority for the purpose and submitted all the relevant documents then the department should have co-operated and co-ordinated with the appropriate rebate sanctioning authority and the entire case matter could have been settled in a legal and proper manner well within required time frame. - time limitation of one year is to be computed from the date on which rebate claim was initially filed - Decision in the case of M/s. I.O.C. Ltd. reported as 2006 (9) TMI 203 - GOVERNMENT OF INDIA followed - Decided in favour of assessee.

Summary

Issues:
1. Time-barred rebate claims under Section 11B of Central Excise Act, 1944.
2. Jurisdictional authority for granting export benefits.
3. Delay in filing rebate claims due to circumstances beyond control.
4. Co-operation between different rebate sanctioning authorities.

Analysis:
1. The case involved a revision application by M/s. Unique Pharmaceutical Laboratories against the order-in-appeal passed by the Commissioner of Central Excise (Appeals), Mumbai-I regarding time-barred rebate claims under Notification No. 19/2004-C.E. (N.T.). The Assistant Commissioner (Rebate), Central Excise, Mumbai-IV initially granted the rebate claims, but the Commissioner (Appeals) later disallowed them due to time limitations under Section 11B of the Central Excise Act, 1944.

2. The applicant exported goods partly by sea and partly by air, leading to the filing of rebate claims with different authorities. The dispute arose when the rebate claim for air shipment was filed after the one-year time limit. The Central Government noted the jurisdictional complexities arising from the dual mode of export and emphasized the need for proper coordination between rebate sanctioning authorities to avoid delays in claim processing.

3. The applicant argued that the delay in filing the rebate claim was due to circumstances beyond their control, specifically delays in obtaining certified copies of relevant documents from the Maritime Commissioner. The applicant contended that the delay should have been condoned as it was not a wilful contravention of Section 11B. However, the Central Government upheld the time limitation requirement based on the date of the initial rebate claim filing.

4. The Central Government, citing the case of M/s. I.O.C. Ltd., emphasized that the time limitation of one year should be calculated from the date of the initial rebate claim filing. The Government agreed with the findings of the original authority and set aside the order-in-appeal, restoring the order-in-original. The decision highlighted the importance of adherence to procedural timelines and the need for effective communication and cooperation between different rebate sanctioning authorities to facilitate timely processing of claims.

In conclusion, the Central Government's judgment focused on upholding the statutory time limitations for rebate claims under the Central Excise Act, 1944, while also underscoring the significance of proper coordination between authorities in the context of dual-mode exports to ensure efficient processing of export benefits.