Non-merits dismissal does not bind reconsideration of customs duty on imported rubber, and the issue was sent to a Larger Bench.

Dismissal of an appeal as not pressed does not amount to a decision on merits and does not declare binding law for the Tribunal. On that basis, the Tribunal concluded that its earlier view on the levy of additional duty of customs on imported rubber could be reconsidered, particularly because the statutory treatment of cess on rubber produced in India as a duty of excise under the Rubber Act differed from the independent operation of additional duty under the Customs Tariff Act on imports. In view of possible error in earlier decisions and conflicting authorities, the Tribunal held that judicial consistency required reference of the levy issue to a Larger Bench.

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Issues: Whether dismissal of the Revenue's appeal by the Supreme Court as not pressed declared the law so as to preclude the Tribunal from reconsidering its earlier view, and whether the question of leviability of additional duty of customs on imported rubber required reference to a Larger Bench.

Analysis: The dismissal of an appeal as not pressed does not amount to a decision on merits and, therefore, does not declare law binding on the Tribunal. The Tribunal held that its earlier view on the levy of additional duty of customs against imported rubber could be reconsidered, especially where the statutory scheme showed that cess on rubber produced in India was described as a duty of excise under the Rubber Act, while additional duty under the Customs Tariff Act operated independently on imported goods. Since the earlier decisions appeared possibly erroneous and the issue had conflicting views, judicial consistency required reconsideration by a Larger Bench.

Conclusion: The Tribunal held that the Supreme Court's dismissal as not pressed did not bar reconsideration, and it referred the question of leviability of additional duty of customs on imported rubber to a Larger Bench.

Ratio Decidendi: Dismissal of an appeal as not pressed is not a decision on merits and does not constitute a declaration of law that binds reconsideration of the issue by the Tribunal.

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