TaxTMI 
TaxTMI 
2025 (5) TMI 1907
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....ase are that the appellant are engaged in the manufacture of cotton yarn, polyester yarn and blended yarn. Prior to 01.05.2006, the appellant used to clear these finished goods for home consumption/export on payment of duty under Notification No. 29/2004-CE dated 09.07.2004 after availing Cenvat Credit of duty paid on inputs used to manufacture these goods. With effect from 01.05.2006, the appellant opted for Notification No. 30/2004-CE dated 09.07.2004 and cleared these finished goods for home consumption at Nil rate of duty in terms of Notification No. 30/2004-CE and cleared the goods for export on payment of duty under Notification No. 29/2004-CE. During the scrutiny of records at the time of audit, it was observed that w.e.f. 01.05.2006....
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....e ('IBC'), 2016 by the NCLT, Chandigarh Bench vide its order dated 06.07.2018. Thereafter, Interim Resolution Professional ('IRP') was appointed and all powers of old management was suspended and transferred to IRP under Section 17 of the IBC, 2016. He further submits that claim for recovery of all dues outstanding as on 06.07.2018 was submitted by the Sales Tax and Excise Department amounting to Rs. 9.63 crores, out of which 5.89 crores were verified by IRP and the departmental dues were considered as secured financial creditors and the dues amounting to Rs. 4.09 crores were paid in proportion to other secured financial creditors. 4.3 He further submits that the NCLT, vide its order dated 27.04.2023, has approved the Resolution Plan and o....
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....e Court in Civil Appeal No. 8129 of 2019, in the case of Ghanashyam Mishra and Sons Pvt. Ltd. Vs. Edelweiss Asset Reconstruction Company Ltd. & Ors. vide judgement dated 13.04.2021, had decided the settled position of law, as under:- "2. The short but important questions, that arise for consideration in this batch of matters, are as under:- (i) As to whether any creditor including the Central Government, State Government or any local authority is bound by the Resolution plan once it is approved by an adjudicating authority under sub- section (1) of Section 31 of the Insolvency and Bankruptcy Code, 2016 (herein after referred to as 'I&B Code')? (ii) As to whether the amendment to Section 31 by Section 7 of Act 26 of 2019 is clarificato....
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....esolution plan, shall stand extinguished and no proceedings in respect of such dues for the period prior the date on which the Adjudicating Authority grants its approval under Section 31 could be continued." 5. We also find that CBIC has vide Instruction No.1083/04/2022-CX9 dated 23.05.2022 has laid down the guidelines in the form of Standard Operating Procedure (SOP) for handling the NCLT cases by the department, and reiterated the legal position that as operational creditors, GST and Customs authorities are required to submit their claims against the corporate debtors when the corporate insolvency and resolution process has been initiated. Once the Resolution plan is approved by NCLT, no demands can be raised on the Resolution Applicant....
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.... then litigate on the rejection of each claims, despite the settled position that no claims can be raised once the plan is approved and no demands can be raised on the Resolution Applicant who has taken over the company through such a resolution plan." 6. Appellant-assessee has also claimed that the refund of pre-deposit to be paid to them at the time of filing the captioned appeal. In this regard, we find that the matter has already been decided by the Hon'ble Supreme Court in the case of Ruchi Soya [2022 (380) ELT 8 (SC)]. The relevant paras of the judgement is extracted as follows: "14. Admittedly, the claim in respect of the demand which is the subject matter of the present proceedings was not lodged by the respondent No. 2 after pu....