2003 (1) TMI 147 - AT - Central Excise

Summary

Issues: Appeal against order in appeal dated 11-4-1997 passed by Commissioner of Customs (Appeals) Mumbai.

The appeal was filed by the Department against the order in appeal dated 11-4-1997 passed by the Commissioner of Customs (Appeals) Mumbai. The Commissioner's order stated that the detention order was issued hastily, resulting in unnecessary paperwork. The Commissioner suggested issuing a Show Cause Notice for the recovery of interest due and reconsidering the amount payable to the Government. The Department argued that the importers failed to pay interest as directed by the Apex Court, justifying the detention order under Section 142 of the Customs Act, 1962. The Department contended that the Commissioner erred in requiring a Show Cause Notice and holding the detention order to be in haste. The Department emphasized that the Apex Court's order for interest payment was sufficient, and no further order was necessary. The Tribunal noted that the appellants were repeatedly asked to pay the interest amount, and the detention notice was issued in accordance with the law. The Tribunal set aside the Commissioner's order and allowed the appeal filed by the Department, granting the authorities the liberty to secure the implementation of the Apex Court's order.

In summary, the issues involved in this case revolved around the hasty issuance of a detention order by the Department, the failure of importers to pay interest as directed by the Apex Court, the Commissioner's suggestion to issue a Show Cause Notice, and the Tribunal's decision to set aside the Commissioner's order and allow the Department's appeal for the implementation of the Apex Court's order regarding interest payment.