Philips (India) Ltd. Vs. Commissioner of Customs - Court Judgment

Excerpt:
1. this is an application for implementation of tribunal's order no.ci/3732/01-wzb, dt. 23-11-01 by which the appeal of m/s. philips was allowed partly with consequential relief holding that there was no provision for demanding interest in the customs act or under notification no. 160/92 and setting aside the confiscation of the capital goods and imposition of penalty. by letter dt. 12-2-01, the applicants applied for refund of the amount deposited by them towards interest and for redemption of the bank guarantee duly discharged. on failure to get the refund as well as the written discharge of bank guarantee filed provisionally the applicants filed this miscellaneous application before the tribunal. the matter was taken up on 19-11-2001 and the bench directed the id. dr to obtain written report from the commissioner as to the action taken for implementation of the tribunal's order and also directed him to place on record a copy of the reference application stated to have been filed by the revenue before the hon'ble mumbai high court. the matter was adjourned to today. we find that the id. dr produces a communication on 23-11-2001 to the commissioner of customs which is reproduced below : oio no : dri/bzu/f/8/98/s/10-86/98-adj dated 18-3-99 passed by commissioner (export)-reg. hon'ble bench has directed to inform the outcome of the reference application filed by the department in the hon'ble mumbai high court against the order passed by hon'ble tribunal. hon'ble tribunal has also ordered to send compliance report of their order no. c-i/4307/wzb/2000, dt. 19-12-2000 2001 (137) e.l.t. 697 (t)] immediately as there was no stay granted to the department for implementation of ccgat order. if no compliance sent, tribunal will treat it as contempt of court. the case is coming up for hearing on 19-12-2001 compliance report and outcome of reference application may be sent directly to asslt. registrar, cecat in quadruplicate and copy to the undersigned well before hearing.the id. dr also informs the bench that a reminder was sent on 14-12-2001 and files a fax report thereof.2. inspite of the passage of one year of passing of our orders till date the same has not been implemented. the filing of reference application by revenue against the tribunal's final order does not act as a bar or stay against the tribunals order. we therefore direct the commissioner of customs to carry out the directions of the tribunal by granting refund as well as to return bank guarantee duly discharged to the applicants. this action to be carried out within a period of one month and compliance to be reported on 31-1-2002.3. copy of this order shall be sent to the chairman cbec for information and necessary action, as a large amount of interest liability may arise in this case in terms of mumbai high court order in 2001 (133) e.l.t. 278 mad. which may be uncalled for. the chairman therefore may like to fix the responsibility for this clause.

Judgment:
1. This is an application for implementation of Tribunal's Order No.CI/3732/01-WZB, dt. 23-11-01 by which the appeal of M/s. Philips was allowed partly with consequential relief holding that there was no provision for demanding interest in the Customs Act or under Notification No. 160/92 and setting aside the confiscation of the capital goods and imposition of penalty. By letter dt. 12-2-01, the applicants applied for refund of the amount deposited by them towards interest and for redemption of the bank guarantee duly discharged. On failure to get the refund as well as the written discharge of bank guarantee filed provisionally the applicants filed this miscellaneous application before the Tribunal. The matter was taken up on 19-11-2001 and the Bench directed the Id. DR to obtain written report from the Commissioner as to the action taken for implementation of the Tribunal's order and also directed him to place on record a copy of the Reference Application stated to have been filed by the Revenue before the Hon'ble Mumbai High Court. The matter was adjourned to today. We find that the Id. DR produces a communication on 23-11-2001 to the Commissioner of Customs which is reproduced below : OIO No : DRI/BZU/F/8/98/S/10-86/98-Adj dated 18-3-99 Passed by Commissioner (Export)-Reg.

Hon'ble Bench has directed to inform the outcome of the Reference Application filed by the Department in the Hon'ble Mumbai High Court against the order passed by Hon'ble Tribunal. Hon'ble Tribunal has also ordered to send compliance report of their Order No. C-I/4307/WZB/2000, dt. 19-12-2000 2001 (137) E.L.T. 697 (T)] immediately as there was no stay granted to the Department for implementation of CCGAT order. If no compliance sent, Tribunal will treat it as contempt of Court.

The case is coming up for hearing on 19-12-2001 compliance report and outcome of Reference Application may be sent directly to Asslt.

Registrar, CECAT in quadruplicate and copy to the undersigned well before hearing.

The Id. DR also informs the Bench that a reminder was sent on 14-12-2001 and files a fax report thereof.

2. Inspite of the passage of one year of passing of our orders till date the same has not been implemented. The filing of reference application by Revenue against the Tribunal's final order does not act as a bar or stay against the Tribunals order. We therefore direct the Commissioner of Customs to carry out the directions of the Tribunal by granting refund as well as to return bank guarantee duly discharged to the applicants. This action to be carried out within a period of one month and compliance to be reported on 31-1-2002.

3. Copy of this order shall be sent to the Chairman CBEC for information and necessary action, as a large amount of interest liability may arise in this case in terms of Mumbai High Court order in 2001 (133) E.L.T. 278 Mad. which may be uncalled for. The Chairman therefore may like to fix the responsibility for this clause.