JUDGMENT

Kirpal, J.-Whether the doctrine of unjust enrichment is applicable in respect of raw material imported and consumed in the manufacture of a final product is the question which arises for consideration in these appeals.

2. In order to decide the aforesaid issue, we need refer to the facts in the case of Civil Appeal No. 921 of 1992 filed by the Union of India against Solar Pesticide Private Limited (hereinafter referred to as the respondent ). The respondent imported copper scrap for use as a raw material in the manufacture of copper oxychloride. At the time of import of copper scrap the respondent sought exemption from payment additional customs duty (also known as countervalling duty or CVD) which was available under the Customs Notification No. 35/81 CE dated 1.3.1981. At the time of clearance this duty was paid, subsequently, the respondent filed an application for refund of additional customs duty paid by it at the time of import of copper scrap claiming benefit under the aforesaid exemption Notification of 1.3.1981. The Assistant Collector of Customs, by order dated 16.2.1985, rejected the claim and held that the imported copper scrap was correctly assessed to CVD @ Rs