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TMI Blog2019 (8) TMI 1344X X X X Extracts X X X X X X X X Extracts X X X X ..... immediately after expiry of three months and till payment of such duty. It is also pertinent to note that the order in original, assessing the customs duty payable, itself provided for payment of interest under Section 28AA of the Customs Act if the duty assessed was not paid within three months. The Union of India never challenged the order in original or any of its provisions before any statutory appellate authority and accepted the order. That is one more reason why it ought not to be permitted to now challenge the stipulation of interest. Petition dismissed. - WRIT PETITION NO.14417 OF 2018 - - - Dated:- 9-8-2019 - M.S. SANKLECHA S.C. GUPTE, JJ Mr. R.V. Desai, Senior Counsel a/w Mr. T.J. Pandian for the Petiti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s Act, which provides for interest on delayed payment of duty, was introduced by the Finance Act, 1995, viz Act 22 of 1995, with effect from 26th May 1995. Learned counsel submits that the Import of the subject goods has been fully accomplished as far back as in 19861987 and hence, there is no scope for charging any interest on delayed payment of duty or the import of goods in the present case. Learned counsel relies on the decision of our Court in the case of Commissioner of Central Excise V/s. Dev Ashish 2015 (317) E.L.T. 405 (Bom.), which in turn relied on the decision of the Supreme Court in the case of Commissioner of Central Excise V/s. ELGI Equipments Ltd.2001 (128) ELT 52 (SC) Relying of this decision, it is submitted that f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 18. 5. The decision of our Court in the case of Dev Ashish (Supra) was delivered in the context of Section 11AB of Central Excise Act 1944 inserted with effect from 28th September 1996. This Court held that the provisions, being in the nature of charge of penal interest, could not be invoked for the period prior to 28th September 1998, on which day Finance Bill of 1996 inserting Section 11AB into the Central Excise Act got the assent of the President of India. The assessee's application in that case was for refund of interest erroneously recovered for the period prior to the 28th September 1996. (The demand was for the period of February 1995 to December 1999 and the case of assessee was that no interest could be recovered ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t stood at the relevant time, provided for the assessee's liability to pay interest if customs duty was not paid within three months from the date of determination of the duty. Interest was then leviable from the date immediately after the expiry of such period of three months. The relevant date, thus, was the date of determination of duty and expiry of three months thereafter. If and to the extent that date happened to be after the insertion of section 28AA, the provision was certainly applicable to the case. 7. The case of ELGI Equipments Ltd (supra) considered the provisions of Section 11AC of the Central Excise Act, 1944 providing for penalty. The Supreme Court held that the provisions were prospective in operation and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt of such duty. 8. It is also pertinent to note that the order in original, assessing the customs duty payable, itself provided for payment of interest under Section 28AA of the Customs Act if the duty assessed was not paid within three months. The Union of India never challenged the order in original or any of its provisions before any statutory appellate authority and accepted the order. That is one more reason why it ought not to be permitted to now challenge the stipulation of interest. 9. So far as the decision of the Tribunal in Ansar and Company is concerned, the decision was rendered on 15th March 2019. The tax effect in that case being below ₹ 50 lakhs, the Department has been advised not to file appeal fro ..... X X X X Extracts X X X X X X X X Extracts X X X X
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