1990 (6) TMI 187 - AT - Central Excise

Summary

Issues:
Application for waiver of pre-deposit of duty based on Notification 208/84 under Section 11C of the Central Excises & Salt Act, 1944.

Analysis:
The case involved an application for waiver of pre-deposit of duty amounting to Rs. 33,87,138.43, levied on the petitioners under the order of the Assistant Collector of Central Excise. The duty was imposed on Low Density Polythene Layflat Tubing's and films under Tariff Item 15-A(2) for the period between 23-10-1977 to 22-10-1982. The petitioners argued that a show cause notice was issued invoking a longer period of limitation, culminating in an order dated 12-11-1984, which was not appealed against. Subsequently, a government notification (No. 208/84) under Section 11C of the Act was issued on 16-10-1984, stating that duty shall not be required to be paid on goods on which duty was not levied during a specific period. The petitioners sought a declaration based on this notification, but their application was rejected by the Assistant Collector, and the appeal was dismissed by the Collector of Central Excise (Appeals), leading to the present appeal before the Tribunal.

The Tribunal noted that the order of the Assistant Collector fixing duty liability had become final as it was not appealed against. The Tribunal emphasized that the finality of the order could not be disregarded by relying on the benefits of Notification 208/84. The Tribunal observed that the notification only exempted goods on which duty was not levied during the relevant period, whereas duty had been levied on the petitioners as per the order dated 12-11-1984. The Tribunal held that it did not have jurisdiction to review the validity of the final order and grant declaratory relief sought by the appellants. Additionally, the Tribunal highlighted that pre-deposit is a prerequisite for appealing under Section 35 of the Act unless waived by the Tribunal. Since the appellants were not entitled to seek waiver based on the notification and had not raised any other plea, the application for waiver and the appeal were dismissed.

In conclusion, the Tribunal upheld the duty liability imposed on the petitioners, emphasizing the finality of the order passed by the Assistant Collector. The Tribunal clarified that the notification did not apply to goods on which duty had already been levied. Consequently, the application for waiver of pre-deposit and the appeal were dismissed due to the lack of grounds for waiver and the finality of the duty liability order.