1965 (9) TMI 13

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....d rolls them into sheets, circles, etc. for sale from its factory situated in Jaykaynagar in Burdwan, West Bengal. The Company alleges that it rarely sells ingots and never any slabs or billets. All slabs and billets are converted into sheets, circles, etc. and about 50% Aluminium becomes scrap in this process which is melted in a remelting furnace with ingots or molten metal received direct from the electrolytic furnace and recast in the form of billets and thus the cycles starts again. Excise duty on Aluminium was formerly imposed by Item 35 of the First Schedule to the Act, with effect from March 1, 1960, the entry is now placed at No. 27 and reads : "Item No. Description of goods Rate of duty 27 Aluminium    ....

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..... It is sufficient to say that representations were made to the Department and some decisions were taken on them. The Company made a demand for refund of duty paid on slabs and billets which were returned as scrap or asked for adjustment of the differential duty payable on sheets and circles during the period between March 1, 1960 and April 29, 1960. This demand for readjustment of the differential duty was rejected by the Assistant Collector, Central Excise, Calcutta, 4th Division on July 7, 1960 on the ground that the duty was properly calculated at the existing tariff. The demand for refund of duty on scrap was also disallowed, as melting was not done in accordance with the prescribed procedure and under the supervision of the Central Ex....

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....t is very desirable that the authority deciding such revisions should indicate the reasons for the order, no reasons were given. The Company states that the result appeared to be based on enquiries from the Collector and on inspection of the books of the Company but without affording to the Company a chance to confute the report of the Collector or to explain its books of account. This, it is argued, was against the principles of natural justice or those principles on which quasi-judicial proceedings should be conducted. It may be mentioned that it is not denied that the facts brought to our notice are substantially be correct although it is submitted on behalf of the Union of India that no hearing was really required or claimable and that ....