2012 (3) TMI 575

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....ling under Chapter 52 of Central Excise Tariff Act, 1985. The product is exempted from Excise duty and therefore, the petitioner is not entitled to Cenvat credit (formerly Modvat credit) on the duty paid on the inputs that will go into the manufacture of the said final product. The petitioner-exporter has availed one of the benefits available under the Export and Import policy for the year 1997-2002 namely the benefits under the Duty Entitlement Passbook Scheme (DEPB) whereby, the incidence of customs duty on import content of export products was neutralized by extending DEPB Credit. This is in terms of Para 7.14 of the Export and Import policy 1997-2002. The petitioner also availed the benefit given in Circular No. 68 of 1997, dated 2-12-1....

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....ping Bills has been clarified by issuance of Circular No. 39/2001-Cus., dated 6-7-2001. It was also stated in Para-6 of the Circular dated 6-7-2001 that the decisions in respect of past exports made against DEPB-cum-DBK shipping bills where brand rate of drawback has already been granted shall be examined separately. 3. Now on re-examination of your case in the light of aforesaid circular dated 6-7-2001, it has been decided to revoke the afore-mentioned brand rate letter with immediate effect." 4. The said impugned revocation letters based on the Circular No. 39/2001-Cus., dated 6-7-2001 are challenged by the petitioner on several grounds. Insofar as the present writ petitions are concerned, the issue can be considered on a ....

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....reads as follows :- "(14) In H.M. Bags Manufacturer, the Apex Court held that circular issued by the Board under Section 37B of the Central Excise Act is effective from the date of the notification or publication. We have no hesitation in holding that the Circular No. 39/2001 has to be effective from the date it was issued and published. In other words, the Circular No. 39/2001 has to be held to be prospective and cannot be made applicable with retrospective effect. (17) We, accordingly, dispose of the writ petition by following order : (i)      We hold that Circular No. 39/2001 is effective prospectively. (ii)     The orders dated 29th October, 2002 (Exhibits A to A7) are q....