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2018 (1) TMI 530 - HC - CustomsInterest liability for overstay of goods beyond warehousing period - time limitation - Refund of interest - consequences of reduction of warehousing period from one year to six months on existing goods - Section 27 of the Customs Act, 1962 - Held that: - A reading of Section 59 (1) shows that an importer who seeks to have the imported goods warehoused has to first have the goods assessed under Section 17 or Section 18, as the case may be, and then execute a bond binding himself to pay double the amount of duty assessed on the said goods and undertaking to pay on or before a date specified in a notice of demand all duties, rent and charges claimable on account of such goods under this Act, together with interest on the same from the date so specified at the rate of six per cent per annum or such other rate as is for the time being fixed by the Board. In Commissioner of Customs, Chennai Vs. Lakshmi Electrical Control Systems Ltd. [2016 (4) TMI 767 - MADRAS HIGH COURT], it was held that in so far as Section 61(2) is concerned, it refers only to the interest that becomes payable under Section 47. As a matter of fact, the present Sub-Section (2) of Section 61, was amended only by Act 27 of 1999. The amendment, on which, strong reliance is placed by the department, to Section 27(1), came in 1991. Yet, Section 61(2) does not refer to Section 27. Appeal dismissed - decided against Revenue.
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