1987 (1) TMI 99

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.... Sugar Works Ltd. Baheri, district Bareilly, which was subsequently, converted into M/s. Kesar Enterprises filed the present writ petition for quashing of the order of the Assistant Collector, Customs and Central Excise, Bareilly, dated 19-12-1983. 2. The brief facts of the case are these. M/s. Kesar Sugar Works Ltd., Baheri, district Bareilly is a factory engaged in manufacturing sugar. It man....

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....m of Rs. 12,26,880.90 be not debited for the wrong credit taken during the period May and June, 1973. The notice was issued under Rule 10-A of the Central Excise Rules, 1944, 4. M/s. Kesar Sugar Works Ltd., submitted a reply challenging the validity of recovery proceedings by contending Inter alia, (i) that as per notification rebate could be disallowed if the factory did not work during the ba....

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.... entitled to any rebate. The Assistant Collector repelled the contention raised on behalf of the petitioner. On this basis the following order was passed: "I, accordingly, confirm the demand of Rs. 12,26,880.90 paise (Rupees Twelve Lacs Twenty Six Thousand Eight Hundred Eighty and Paise Ninety only) issued against M/s. Kesar Sugar Works Ltd., Baheri, Distt. Bareilly by the Superintendent, Centr....

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....bank guarantee for a sum of Rs. 12,26,880.90 P. within a month from today in favour of respondent no. 2, namely, the Collector, Central Excise, Kanpur. In the event of failure to furnish the Bank guarantee, the stay order shall remain automatically vacated". 6. The controversy which has been raised by the petitioners' counsel was that the Assistant Collector committed an error in holding that t....