2009 (7) TMI 1054 - AT - Central Excise

Summary

Issues involved: Refund claim of excess duty paid, application of doctrine of unjust enrichment, interpretation of contract terms, relevance of previous tribunal decisions.

Summary:
The case involved a dispute regarding a refund claim of excess duty paid by the respondents, who were manufacturers of Industrial Explosives. The initial provisional price of the explosives supplied was later finalized at a lower rate, leading to the refund claim. The Revenue contended that the doctrine of unjust enrichment applied, citing a Board's Circular and a previous Tribunal decision. However, the respondents relied on a decision of the Commissioner (Appeals) in a similar case.

After considering the arguments, the Judge found that the Tribunal had previously allowed a similar refund claim in a comparable case involving a public sector company. The Judge also referenced other Tribunal decisions supporting the position that if customers adjust excess amounts in subsequent bills, the doctrine of unjust enrichment does not apply. Consequently, the Judge upheld the decision of the Commissioner (Appeals) and rejected the appeal filed by the Revenue.