Central Excise - Molasses - Storage and Accounting of - Regarding - Central Excise - 261/12/4/87-CX. 8

Central Excise - Molasses - Storage and Accounting of - Regarding F. No. 261/12/4/87-CX. 8 Dated 1-1-1988 Government of India Ministry of Finance (Department of Revenue) Central Board of Excise Customs, New Delhi Subject : Central Excise - Molasses - Storage and Accounting of - Regarding. Attention is invited to Collector of Central Excise Kanpur's letter C.No. V.CH. 17 (19) T. II/242/87/28245, dated 18-9-1987. (copy enclosed) on the above subject. The B.2 Bond prescribed under Board's letter F.No. 261/15CC/4/82-CX.8 dated 22-10-1982 is to be executed by manufacturers storing molasses in Katcha pits as a safeguard against the losses beyond permissible limits. The revised format of the Bond after deleting unnecessary words is enclosed for necessary action. COPY C.E. Molasses - Storage and accounting of - Instructions regarding. One of the Sugar Mills in the Jurisdiction of this Collectorate, who have stored molasses in Katcha pits. I when asked to execute the bond as per the proforma forwarded by the Board in their letter F.No. 261/15-CC/4/82-CX-8, dated 22-10-1982, has stated that they are not bound to execute the bond inasmuch as, Rule 48 of the Central Excise Rules has already been deleted. It may be observed that proforma of the bond referred to above make specific mention of Rule 48. The said Rule 48 has been deleted vide Ministry of Finance, Department of Revenue Notification No. 111-A/86-C.E., dated 27-2-1986. However, the party has been asked to give an undertaking on a judicial stamp paper to pay the duty on any losses or damage even due to natural causes and that they will not claim any remission of duty on such losses. 2. In terms of the notification referred to above. Rule 48 of the Central Excise Rules, 1944 has been deleted as also the B-2 bond. It is therefore necessary to devise a bond equivalent to the B-2 bond as per the proforma forwarded vide Board's letter dated 22-10-1982 referred to above and make it obligatory on the part of the licensees to execute such a bond in case they wanted to store the molasses in such katcha pits. Accordingly, it is requested that necessary bond may be prescribed. May be it can be in the same form as prescribed already but omitting the reference to Rule 48 and similarly not calling it as B-2 bond. This can be termed as 'Special bond to be entered into by a manufacturer of excisable goods for storage of goods without payment of duty in the premises other than the one approved under Rule 47. Early instructions are solicited. Collector of Central Excise, Kanpur's letter C.No. V.CH. 17(19) T.II/242/87/28245, 18-9-1987. FORM Bond to be entered into by a manufacturer of excisable goods for storage of Molasses in Katcha pit. (Delete the letters and words not applicable) I/We...................................................... S/o................................................ resident of ......................................... at present residing at.............................. (hereinafter the above obligor(s), for and on behalf of M/s................................. at................................................... having Central Excise Licence No. ......................................................................... am ...................................................... are jointly and severally bound to the President of India in the sum of ................................... rupees to be paid to the President of India for which payment .........................bind we jointly and severally Myself/ourselves and my/our legal representative. The above bounden obligor(s) having Central Excise Licence No. ............................... and having applied on ............................................ to the Superintendent of Central Excise pits located within the precincts of the factory at ....................................... because the non-availability of sufficient No. of Pucca pits for this purpose; and Whereas the proper officer has required the obligor(s) the deposit as guarantee for the amount of this bond......................... The sum of.................................................... Rupees................................................. The securities as hereinafter mentioned of a total face value of rupees ............................. endorsed in favour of the President of India and accepted on his behalf by the Collector, Deputy Collector, Assistant Collector or Superintendent of Central Excise, namely .................... And whereas the obligor (s) has/have furnished such guarantee by depositing with the Collector the Cash/securities as aforementioned. Now the conditions of this bond are that :- (1) If the obligor(s) and his/their legal representatives shall observe all the provisions of the Central Excise Rules, 1944 relating to the payment of Central Excise duty and other charges leviable on the molasses stored in Katcha pits, for which the obligor(s) have applied to the proper officer for approval but which the proper officer has refused to grant approval as such katcha pits are not considered safe, and suitable place for storage of such molasses under rule 47 of the Central Excise Rules, 1944 and. (2) If the obligor(s) having undertaken to pay to the Collector of Central Excise full duty which may be leviable on the molasses which may be stored by the obligors in the kutcha pits at their own risk, and having further agreed not to ask remission of duty under rule 49 of the Central Excise Rules, 1944, even if such molasses get deteriorated, lost, damaged or destroyed whether due to natural causes or otherwise, shall pay the duty as mentioned above. And if the obligor(s) having undertaken legal representatives shall pay into the treasury to the account of the Collector. And dues, whether excise duty or other lawful charges, which shall be demandable from the obligor(s) as shown in the records of the proper officer within ten days from the date of demand thereof being made in writing by the said officer. This obligation shall be void. Otherwise and on breach or failure in the performance of any part of these conditions, the same shall be in full force. And the President of India shall at his option, be competent to make goods all the loss and damages from the amount of the guarantee deposit or by forcing his rights under the above written bond or by both. I/We declare that this bond is given under the orders of the Central Government for the performance of an act in which the public are interested. Place………………… Signature(s) of obligor(s) Date…………………. Witness (1) Address (1) Occupation (1) Witness (2) Address (2) Occupation (2) Accepted by me this ………………… day of ……………. 19…………….……………………. of Central Excise, (for and on behalf of the President of India)