1998 (5) TMI 153 - AT - Central Excise

Summary

Issues:
Refund claims rejection based on limitation and lack of prior price approval.

Analysis:
The appellants, engaged in manufacturing vegetable products, filed refund claims for two periods, citing selling at lower prices than the controlled prices, both during and after the withdrawal of price control. The Asstt. Collector rejected the claims due to limitation and lack of prior price approval. The Collector (Appeal) agreed on limitation but upheld the rejection for failing to submit a price list post-price control withdrawal.

Regarding the period before price control withdrawal, the law deemed the price fixed under the Essential Commodities Act as the normal price for excise duty calculation. Thus, selling below controlled prices was irrelevant legally, precluding the appellants' case.

Post-price control withdrawal, the appellants were required to submit a price list, which they failed to do. Additionally, Rule 173C(2) mandated prior approval for price reductions, which the appellants did not obtain. Consequently, the lack of compliance with these requirements justified the rejection of the refund claims.

The Tribunal found no evidence of following legal provisions or justifying interference with the Collector's decision. With insufficient justification presented, the Tribunal upheld the rejection of the appeal, emphasizing the appellants' failure to comply with post-price control requirements and obtain necessary approvals for price reductions.