1998 (10) TMI 208 - AT - Central Excise

Summary

Issues:
1. Application for refund of excess amount deposited.
2. Interpretation of the Supreme Court order regarding the refund.

Issue 1: Application for refund of excess amount deposited
The case involved an application for directions for a refund of Rs. 1,52,95,000/- following the Hon'ble Supreme Court's order in Civil Appeal No. 7454/93. The applicants had initially deposited this amount as pre-deposit under Section 35F for hearing their appeals. The dispute arose from the differential duty demands raised through various show cause notices issued by the Assistant Collector. The demands were confirmed by the authorities, leading to appeals and subsequent refund claims by the applicants. The history of the case included multiple notices, adjudications, and appeals resulting in varying demands and refund claims. The Tribunal had directed the refund of the excess amount deposited by the applicants, which was challenged by the Revenue in subsequent proceedings.

Issue 2: Interpretation of the Supreme Court order regarding the refund
The Supreme Court, in its judgment on 20-2-1997, directed the CEGAT to refund any amount deposited in excess of the liability arising from specific show cause notices. The applicants, in their present application, argued that the excess amount deposited was Rs. 1,52,95,000/-, while the actual liability was Rs. 9,34,135/-. They had made various deposits as per earlier orders, resulting in the claimed surplus. The Court agreed with the applicants, emphasizing that the refund was warranted as the deposited amount exceeded the liability determined by the Tribunal. The Court rejected the Revenue's argument that refund was not applicable since the exact pre-deposit amount was paid, emphasizing the clear language of the Supreme Court order. Consequently, the Tribunal allowed the application and directed the refund of the excess amount to the applicants.

This detailed analysis of the judgment highlights the key issues, legal interpretations, and outcomes related to the application for a refund of excess amount deposited in the context of the legal proceedings and orders issued by the authorities and the Supreme Court.