Per Mrs. Archana Wadhwa, M (J):

Vide the impugned Order duty of Rs. 9,29,931.72 has been confirmed against the appellants, M/s. Aloke Udyog Vanaspati & Plywood Ltd., Calcutta on the incidental charges raised and collected by the appellants from the customers during the period from 1.8.80 to 14.6.83.

2. The appellants are manufacturers of plywood classifiable under the erstwhile Tariff Item No. 16B of the First Schedule of the Central Excise and Salt Act, 1944. While assessing the RT-12 returns for the period of August, September, October, November and December, 1980, demand of duty was raised on the post-manufacturing incidental charges collected by the appellant company. The appellants challenged the assessment of the RT-12 returns and raising of demands by way of filing a Writ Petition before the Honourable High Court of Calcutta. The Calcutta High Court passed an Ad Interim Injunction Order restraining the Department from charging any Additional Excise Duty on the incidental charges as assessed by the Department on the RT-12 returns for the month of August, 1980 to December, 1980 subject to the appellants' executing a Bond of Rs. 35,000.00. The relevant portion of the Order of the Calcutta High Court dated 5.6.81 is as under :-

"There will be an interim order of stay/injunction in terms of prayer (d) of the petition for a period of two weeks from date subject to the petitioner furnishing within that period a bond for Rs. 35,000/- (Rupees Thirty-five thousand only) with one surety of the like amount to the satisfaction of either respondent No. 2 or respondent No. 3 with liberty to have the interim order extended upon notice to the respondent."

Prayer (d) of the Writ Petition to the Hon'ble High Court reads as follows:-

"(d) An ad-interim order of injunction restraining the respondents, their agents servants and subordinate from charging any additional excise duty on incidental charges as assessed in Annexure:G to the petition."

3. Annexure:G to the Writ Petition is the assessment made on RT-12 returns for the period from August, 1980 to December, 1980 for a total amount of duty of Rs. 70,176.96. It was these RT-12 returns which were challenged by the petitioner before the High Court of Calcutta.

4. The Writ Petition was disposed of by the Honourable Calcutta High Court vide its Final Order dated 16.3.1989. While disposing of the Writ Petition, the Honourable High Court of Calcutta directed as under:-

"Recording such submissions the writ petition is disposed of. The matter is remitted back to the Department concerned to adjudicate the point as to the post-manufacturing expenses after giving an opportunity of hearing to the petitioner. It is needless to observe that the petitioner will co-operate with the Department concerned accordingly. The bond furnished by the petitioner will remain in force for a period of six months from date and within which time the matter has got to be disposed of by the respondents accordingly."

5. During the pendency of the Writ Petition before the High Court, the Department went on raising the demands of differential duty on the RT-12 returns on the incidental charges. On final disposal of the Writ Petition, the Assistant Commissioner vide its letter dated 3.11.1989, directed the appellants to pay the differential Central Excise Duty of Rs. 8,85,649.30 (Basic) and Rs. 44,282.42 (Special) raised by the Superintendent of Central Excise on the monthly RT-12 returns for the period from 1.8.80 to 14.6.83 on the incidental charges collected by the appellants herein by way of raising separate bills etc.

6. Vide the said letter, the Assistant Commissioner also directed the appellants to submit the details of the actual expenditure incurred by them on account of the incidental charges duly certified by a Chartered Accountant for the purpose of examining the case in terms of the High Court's Order dated 16.3.89. The appellants were also directed to appear before the Assistant Commissioner.

7. Vide his Order-in-Ori