2011 (2) TMI 739 - AT - Central Excise

Claim of rebate - exported goods - The subject matter in the appeal relates to claim of rebate against the exported goods viz. man-made fabrics as such, the Tribunal has no jurisdiction as per Section 35B of the Central Excise Act, 1944 to decide the appeal - Their claim in the appeal can only be decided by the Joint Secretary of Govt. of India - In this regard, the applicant relies on the decision in the case of M/s. Madura Coats Ltd. 1990 -TMI - 80489 - CEGAT, MADRAS - Provisions of Section 35B, the earlier order is recalled and the Revenue is directed to present the appeal before the Joint Secretary, Govt. of India, who is vested with the jurisdiction, and dispose of the same on merits.

Summary

Issues:
1. Jurisdiction of the Tribunal regarding appeals related to goods exported without duty payment.
2. Validity of the Final Order passed by the Tribunal.
3. Applicability of Section 35B of the Central Excise Act, 1944.

Jurisdiction of the Tribunal regarding appeals related to goods exported without duty payment:
The case involved a demand for an amount and penalty imposed by the Deputy Commissioner of Central Excise, which was initially dismissed as time-barred by the Commissioner (A) Mumbai. The Tribunal remanded the matter back to the Commissioner (A) for reconsideration on merits. The revenue filed a ROM application asserting that the Tribunal's Final Order was passed without jurisdiction as per Section 35B of the Central Excise Act, 1944, regarding goods exported without duty payment. The Tribunal referred to a previous case, Rivaa Exports Vs. CCE, Surat-I, where a similar jurisdictional issue led to the order being recalled. The Tribunal found that the appeal was not maintainable due to lack of jurisdiction under Section 35B and recalled the Final Order.

Validity of the Final Order passed by the Tribunal:
The Tribunal, upon careful examination of the records and submissions, acknowledged that the Final Order passed in 2009 was done without jurisdiction. Citing the Rivaa Export case, the Tribunal noted that the subject matter of the appeal related to a claim of rebate on exported goods, falling outside its jurisdiction as per Section 35B of the Central Excise Act, 1944. Following the precedent set in the Rivaa Export case, the Tribunal allowed the revenue's application, recalled the Final Order, and rejected the appeal as not maintainable.

Applicability of Section 35B of the Central Excise Act, 1944:
Section 35B of the Central Excise Act, 1944 was pivotal in determining the jurisdiction of the Tribunal in appeals concerning goods exported without duty payment. The Tribunal, guided by the principles laid down in previous decisions like M/s. Madura Coats Ltd. and M/s. India Jute Industries Ltd., recalled the Final Order and directed the revenue to present the appeal before the proper authority vested with jurisdiction. By adhering to the provisions of Section 35B and established legal precedents, the Tribunal upheld the limitations on its jurisdiction and ensured the appeal was directed to the appropriate authority for further consideration.