2025 (11) TMI 21

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....s engaged in imports of Chinese tyres of "Infinity" and "Wanli" brand. A case of massive outright smuggling was being investigated against M/s Shivani Industries which was also managed and financially controlled by said Shri H.S. Chadha. Accordingly, the premises of the appellant also got searched on 16.07.2014. The goods lying in the premises were not bearing MRP stickers which was otherwise a mandatory requirement for availing the benefit of exemption from SAD as per Notification No. 21/2012 dated 17.03.2012. The goods were accordingly, seized. Simultaneous search was conducted at the residential premises of Shri H.S. Chadha. Certain loose documents including one Apple Mac book were resumed vide the Panchnama dated 16.07.2014. The goods s....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....t to the said final order, the appellant filed two refund claims with respect to the aforesaid both amounts. The refund was sanctioned vide the order No. 17/2021-22 dated 31.05.2021 and 19/2021-22 dated 30.06.2021 however, without interest. Being aggrieved, the appellant is before this Tribunal. 5. I have heard Shri Anup Kumar Srivastava, learned counsel for the appellant and Shri V.J. Saharan, learned Authorized Representative for Revenue. 6. Learned counsel for the appellant had submitted that the amounts in question were in the nature of pre-deposit and were not in the nature of duty. Hence provision of Section 27A of Customs Act, as invoked by Commissioner (Appeals), is not applicable. It is submitted that on the said amount, the ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....pulated in the Act, @ 6% as notified by Notification No. 75/2003Customs (NT) dated 12.09.2003. 8. Learned Departmental Representative also brought to the notice the order passed by Hon'ble High Court, Delhi in an application filed by the department against M/s SS Automotive reducing the rate of interest from 12% to 6% per annum from the date of deposit till the date of release. The appeal is accordingly, prayed to be dismissed. 9. Having heard both the parties, it is an apparent fact that the amount in question i.e. Rs. 3,83,645/- and Rs. 3,94,331/- were paid by the appellant with respect to the goods seized at the time of search and goods seized of the live Bill of Entry. All those goods were ordered to be released as per the provisi....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....he date of receipt of such application till the date of refund of such duty. No question arises for sanctioning interest from the date of payment of the amount in question, for the amount in question being the amount of customs duty instead of an amount of pre-deposit, as already mentioned above. 11. The rate of interest has already been curtailed to 6% by Hon'ble High Court, Delhi in another matter vide order dated 30.12.2022. Otherwise also as per Section 27A of Customs Act itself, the rate of interest has to be such as fixed by the Central Government by a notification in the official gazette. It has been brought to notice that the Notification No. 67/2003 restricts the rate of interest at 6% in case of delayed refund. This observation....