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2013 (1) TMI 446 - CESTAT CHENNAIRemission of duty – Whether remission of duty can granted - where goods destroyed in bonded warehouse - and out of charge order was given before fire took place - Physical clearance for home consumption - Bonding bill of entry - Ex-bond bill of entry for ex-bonding the goods – Held that:- Yes, following the decision in case of MOUNT SHIVALIK BREWERIES LTD. (2003 (1) TMI 120 - HIGH COURT OF DELHI) that sub-section (1), with which we are concerned herein provides for 'remission of duty', where goods are lost or destroyed at any time 'before clearance of goods' for home consumption. Unlike sub-section (2), this subsection does not use the expression 'before an order for clearance of goods' for home consumption has been made. Obviously, there is a distinction between 'an order for clearance for home consumption' and 'clearance for home consumption', inasmuch as in our opinion, the latter expression postulates actual clearance of the goods for home consumption from the Customs custody after an order for clearance for home consumption is made. Therefore, the assessee are entitled to 'remission of duty' paid on the goods lost or destroyed by fire at any time before physical clearance of the goods for home consumption. In favour of assessee Double benefit of duty – Remission of duty – Goods lost by fire - Insurance of goods - Goods were insured by a 'comprehensive insurance policy', therefore, the assessee shall get the 'double benefit of duty' both from the bonded warehouse and from the department – Held that:- Following the decision in case JINDAL VIJAYANAGAR STEEL LTD. (2005 (11) TMI 151 - CESTAT, BANGALORE) had clearly spelt out that if the goods are insured, it does not disentitle the assessees from the claim of refund of duty and interest paid thereon. In favour of assessee
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