2015 (12) TMI 1884 - HC - Central Excise

Seeking payment of the rebate in cash, on exports made in terms of the erstwhile Rule 57 F (13) of the Central Excise Rules, 1944 - HELD THAT - Though various issues are raised in this Writ Petition, and defending the same, a counter affidavit is also filed, now, the learned counsel appearing for the petitioner has submitted that, it would be suffice, if a direction is issued to the respondent to adjudicate the issue, which culminated in the issuance of show cause notice, dated 09.02.2000 alone, after affording due opportunity to the petitioner to fortify its case. Insofar as the claim made by the petitioner, vide Application, dated 30.11.1998, regarding payment of statutory interest on the refund amount is concerned, the learned counsel submitted that the petitioner would not press upon the interest on the refund amount, and to that effect, the petitioner has also filed an undertaking affidavit today, specifically stating that they will not claim the statutory interest payable on the refund, subject to the sanction of refund to the petitioner by the respondent. The writ petition is disposed off.

Summary

Issues:
1. Quashing of order in original No.204 of 2015 and direction to dispose of the application for refund.
2. Refund claim for rebate on exports made by the petitioner.
3. Rejection of refund claim by the Assistant Commissioner of Central Excise.
4. Appeal filed against rejection and subsequent remand for fresh consideration.
5. Issuance of show cause notice dated 09.02.2000.
6. Petitioner seeking personal hearing and non-pressing of interest on the refund amount.
7. Direction to respondent for adjudication and completion of the process within a specified timeline.

Analysis:

1. The Writ Petition was filed seeking to quash the order in original No.204 of 2015 and to direct the respondent to dispose of the application for refund. The petitioner, a manufacturer of medicaments, filed a refund claim on 30.11.1998 seeking payment of rebate on exports made by them. The claim was acknowledged by the respondent but rejected by the Assistant Commissioner of Central Excise.

2. An Appeal was filed against the rejection, which resulted in a remand for fresh consideration. Subsequently, a show cause notice dated 09.02.2000 was issued. The petitioner sought a personal hearing and expressed willingness to not press for statutory interest on the refund amount. An undertaking affidavit to this effect was filed by the petitioner.

3. The Court, after hearing both sides, directed the respondent to adjudicate upon the issue related to the show cause notice dated 09.02.2000. The petitioner was instructed to appear before the respondent for a personal hearing to present their defense. The respondent was mandated to complete the adjudication process and pass appropriate orders within six weeks from the specified dates of appearance by the petitioner.

4. The Court disposed of the Writ Petition accordingly, without imposing any costs. The judgment focused on ensuring due process in the adjudication of the refund claim issue and provided a clear timeline for the resolution of the matter in accordance with the law.

5. The judgment emphasizes the importance of affording the petitioner a fair opportunity to present their case and directs the respondent to handle the adjudication process diligently and promptly. The decision reflects a balanced approach by addressing the concerns raised by the petitioner while upholding the principles of natural justice and legal procedure.