TaxTMI 
TaxTMI 
TaxTMI 
2025 (9) TMI 1289
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....by the Commissioner of Customs (Appeal). The Petitioner further seeks setting aside of refund order dated 30th April 2024 passed by the Assistant Commissioner (Refund), T-3, 1GI Airport, New Delhi, rejecting the claim of the Petitioner for refund of Earnest Money Deposit (hereinafter, 'EMD') deposit of Rs. 29,19,144/-. 3. The background of the case is that an e-auction notice was issued by the Customs Department on 25th January 2017 for sale of certain seized/ confiscated cigarettes. The Petitioner submitted the EMD to the tune of Rs. 29,19,144/- on 7th/ 8th February 2017. Thereafter, the Petitioner is stated to have made certain requests relating to the nature of the cigarettes including the date of manufacturing, packaging, imports, etc.....
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....al channels of commerce after obtaining "no objection" or concurrence of the right holder or his authorised representative. 5. In view of the above, the field formations may refer to the following guidelines while disposing of illicitly imported cigarettes, which are seized/confiscated. 1. The cigarette packets shall have, inter alia, specified health warning to cover 85% of the principal display area of the package, 60% shall cover pictorial warning and 25% shall cover textual health warning, the placement of the warning, the language to be used on the package, every package of cigarette should have name of the product, name and address of the manufacturer or importer or packer, origin of the product (for import), quantity of the pro....
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....evenue for relief, respondent no. 1/revenue will be at liberty to pass an order as per law, albeit, after hearing the petitioner." 8. The Petitioner again filed representations before the concerned authorities for personal hearing. However, since no response was elicited, a second writ petition being W.P.(C) 9301/2023 titled 'M/s Muchipara Consumers Co-operative Stores Ltd. Through Manager v. Additional Commissioner of Customs (Disposal)' was filed. On 14th July 2023, the Court directed as under: "1. The petitioner has approached this Court aggrieved by the fact that despite the order dated 28 March 2022 passed inter partes, there has been non-compliance insofar as the issue of forfeiture of Earnest Money Deposit ["EMD"] was concerned. ....
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....14224 as per the payment terms of e-auction in favour of Commissioner of Customs, IGI Airport, New Delhi. As per Para 7.5 of General Terms and Conditions of the e-auction, "In case the successful bidder pays the EMD/SD, but fails to pay the balance material value along with the applicable duties and taxes within the due date, then his EMD/SD will be forfeited." In view of this, since the party did not pay the balance amount within five days from the date of issuance of the acceptance letter i.e. 28.03.2017. Hence, the whole deposited amount of Rs. 29,19,444/- was forfeited by the Commissioner of Customs and the same was communicated to the party vide letter dated 23.06.2017 issued by the Joint Commissioner. Accordingly, I pass the follow....
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....h the approval of Commissioner of Customs (Appeals), New Delhi." 11. As can be seen from the above order, the Commissioner (Appeals) has taken a view that since the EMD was in respect of an e-auction and is held to be subject of a contract of sale, it does not fall within the jurisdiction of the Commissioner (Appeals). Further, the original forfeiture was also by the Commissioner of Customs and hence, the Commissioner (Appeals) held that he did not have jurisdiction to deal with the matter. The said order dated 7th July, 2025 is under challenge in this writ petition. 12. On behalf of the Petitioner, Mr. Sunil, ld. Counsel submits that the Petitioner has been left with no remedy inasmuch as the Commissioner (Appeals) is refusing to exerci....