2001 (9) TMI 141

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....yoti Balasundaram, Member (J)]. - The appellants herein are engaged in the business of processing of the textiles on job work basis. They had filed writ petitions before the Hon'ble Supreme Court wherein they had contended inter alia that their duty liability was restricted to the amount payable on value added by them and that they were not liable to pay any duty on the wholesale value of man-made....

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....dated 28-2-1989 issued specific directions to the Commissioner of Central Excise to abide by the clarificatory order of the Supreme Court and to refund any excess amount realised by encashment of bank guarantee. 3. A refund claim was filed for Rs. 52,14,208/- on 18-5-1989 covering the period from April, 1984 to November, 1987 and the refund amount represented the duty worked out on the trader's....

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..... 252/1994-A, dated 8-9-1994. 4. Subsequent to the order of the Tribunal the appellants were called upon to intimate whether the duty paid by them and now claimed as refund has been collected from their customers/merchant manufacturers and the submission of the appellants was that the refund claim represented the excess amount realised through bank guarantee and that the refund claim was not ag....

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....resent situation is covered by the decision of the Hon'ble Supreme Court in the case of Oswal Agro Mills Ltd. v. CCE - 1994 (70) E.L.T. 48 (S.C.) = 1994 (51) ECR 330 (S.C.), holding that bank guarantee furnished by an assessee in compliance with a Court order is in the form of a security or deposit and cannot be held as payment of duty attracting the provisions of unjust enrichment. This decision ....