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CUSTOMS, EXCISE AND GOLD (CONTROL) APPELLATE TRIBUNAL, NEW DELHI
U.L. BHAT, K. SANKARARAMAN, JJ.
T.I. Diamond Chain Ltd. -Appellant
Versus
Collector of Central Excise, Madras -Respondent
Final Order No. 2176/97-A Appeal No. E/3287/90-A, 2176 of 1997, E/3287 of 1990
Decided On : 18-12-1997
M. Ali
Per Justice U.L. Bhat :
Appellant is absent in spite of notice of hearing, but has sent a request for disposal of the appeal on merits. We have heard Shri M. Ali, JDR and perused the papers.
2. Appellant moved nine refund claims for duty paid on the elements of interest on receivables, interest on finished goods and distribution charges in respect of goods sold through depots. The Assistant Collector rejected the claims as not tenable. This order, having been confirmed by the Collector (Appeals), the present appeal has been filed.
3. It is clear from the decision of the Supreme Court in MRF Ltd., 1995 (77) ELT 433 (SC) while interest on receivables cannot be added to the assessable value, interest on finished goods and distribution charges can not be excluded from the assessable value. Appellant would, therefore, be entitled to refund of part of the amount claimed, subject to the provisions of Section 11B of the Central Excises Act, 1944 and Mafatlal Industries Ltd., 1996 (17) RLT 907 = 1997 (89) ELT 247 (SC). The impugned orders are set aside and the refund claims are remanded to the jurisdictional adjudicating authority for decision afresh in accordance with law and the observations in this order and after giving the appellant an opportunity of hearing. Appeal is allowed.
