TMI Blog1991 (1) TMI 302X X X X Extracts X X X X X X X X Extracts X X X X ..... dated 16-12-1987 passed by the Collector of Central Excise (Appeals), Bombay rejecting the appeal filed against the Memorandum issued in File No. V-14D(18)-1/MN/85/REC dt. 29-8-1988, issued by the Additional Collector of Central Excise, Jamnagar, so far as it relates to the intimation given thereunder, regarding adjustment of the sum of Rs. 8643.13 held as recoverable from the appellants, out of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ver objected to the said direction, and pleaded that they were entitled to utilise the said credit towards the duty on any finished product. The same was however not replied, and instead, vide memorandum mentioned hereabove, the Assistant Collector ordered the adjustment of the said amount against the amount due as refund to the appellants. The appellants challenged the said direction before the C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1986 (7) ETR 141, he submitted that the letter from the Supdt. could not be considered as an order confirming demand and order of the Assistant Collector, adjusting the said amount against the other refund claimed sanctioned was not correct, and the same has to be set aside. 4. Shri C.P. Arya, the Ld. SDR for the Department, however, supported the order and pleaded that the appellants had not pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e and without hearing the party in that regards. 7. Demand for such credit, even assuming to have been wrongly availed of, can be raised as provided for in Rule 56A(5) of the Central Excise Rules, and as per the provisions of the said Rule, the authority competent to raise such a demand is Assistant Collector, and not the Supdt. Even the Assistant Collector, before confirming such a demand is re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eferred to by the Ld. Advocate for the appellants, though not directly on the point at issue here, also taken the same view. 10. When the appeal has to be allowed on this count, it does not appear necessary to deal with other issue as to whether demand on the grounds raised in the letter of the Supdt. is legally sustainable. 11. Under the circumstances, the appeal is allowed. It is clarified t ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
