2016 (1) TMI 337 - AT - Central Excise

Order of the Commissioner (Appeals) beyond the scope of the Directions in the remand order - Availment of CENVAT Credit - claim on the outward freight - Board Circular No. 97/8/2007 dated 23.8.2007 - Held that - When Tribunal intended that only a limited issue on which remand was made to Commissioner (Appeals) that was only open for consideration in the readjudiction. His scope of examination was to confined to that aspect only. When the Tribunal did not make a total remand of the matter the point of limitation which was concluded was not to be reopened in remand proceeding. Therefore the point on which conclusion was drawn by the Commissioner (Appeals) earlier that is not liable to be reviewed by him in remand proceeding because he has no power of review and he was not conferred jurisdiction by order of the Tribunal. Accordingly Commissioner (Appeals) was expected to deal with the limited aspect which was directed by Tribunal to be re-adjudicated by him. - only on the issue of outward freight availed beyond the period of limitation shall be decided in the re-adjudication proceeding directed by this order and shall pass appropriate order. - Appeal disposed of.

Summary

Issues involved:
1. Reversal of relief on time bar for CENVAT credit
2. Consideration of claim on outward freight
3. Scope of remand by the Tribunal

Analysis:
1. The appellant argued that the Commissioner (Appeals) wrongly reversed the relief granted on the time bar for CENVAT credit claimed for a specific period. The reversal was deemed beyond the Commissioner's power as it was not a dispute raised by the Revenue in their appeal before the Tribunal. The Commissioner was expected to adhere to the conclusion reached earlier and not reopen settled matters.
2. The appellant contended that the Commissioner should have considered the claim on outward freight in line with a specific Board Circular and a decision of the High Court. The Tribunal's remand was limited to this aspect, and the Commissioner was supposed to decide solely based on the Circular's mandate without imposing additional conditions.
3. The Tribunal clarified that the remand was specific to the limited issue of outward freight and did not encompass a blanket remand. The Commissioner was directed to re-adjudicate only on whether the conditions of the Circular were met by the assessee, without exceeding the scope of the remand. The Commissioner was instructed to follow the Circular's requirements without introducing new conditions.

In conclusion, the Tribunal directed the Commissioner (Appeals) to focus solely on the limited issue of outward freight availed beyond the limitation period, as per the remand order. The Commissioner was instructed to provide a fair hearing to the appellant and make a decision based on the specific aspects outlined in the remand order.