TMI Blog2012 (11) TMI 781X X X X Extracts X X X X X X X X Extracts X X X X ..... C/175/2011 - A/2172/2011-WZB/AHD - Dated:- 15-12-2011 - Shri B.S.V. Murthy, J. REPRESENTED BY : Shri Hardik Modh, Advocate, for the Appellant. Shri R.S. Srova, AR, for the Respondent. [Order]. Briefly stated the facts of the case are that M/s. Metal Plast Exim (India) Limited, Kandla had imported three consignments declaring the goods as Stock Lot of Glass Fibre and Stock Lot of Glass Fibre Yarn . On verification of goods were found of prime quality. On the ground that importer mis-declared the goods and under invoiced the same with intention to evade customs duty, goods were seized and provisionally released on payment of security deposit of Rs. 5 lakhs paid on 28-4-1999. The goods were confiscated by the adjudicati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... liance upon the decision of the Tribunal in the case of M/s. Akai Impex Limited [2003 (156) E.L.T. 700 (Tri.-Mumbai)] which took a view that interest is not admissible, and being creation of statute he cannot go beyond the same. He also relied upon the decision of the Tribunal in the case of Calcutta Iron Steel Company v. C.C.E., Chennai - 2010 (260) E.L.T. 311 (Tri. - Chennai) wherein it was held that the assessee is not entitled to interest under Section 27A of the Customs Act, 1962 on the amount representing security deposit and such amount is payable only when the amount is duty. 4. In the case of Akai Impex Limited, the Tribunal had taken a view that interest is not admissible on the ground that during the relevant time the Customs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ble on security deposit. In the case of Jhumarmal Jain v. UOI - 2000 (120) E.L.T. 307 (Gauhati), the Hon ble High Court of Assam took a view that refund of security deposit for provisional release of goods seized is to be paid with interest. However, I note the fact that this decision was rendered in a writ petition filed by the appellant in that case and normally in writ petitions, the High Courts take into account the principle of equity also. But in that case, the Hon ble High Court took note of the submissions of the Counsel for the department that no interest is payable as per the provisions of Section 27 of Customs Act, 1962 and thereafter, the Hon ble High Court allowed the interest. Therefore in that case interest was allowed keepin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y, it appears that the appellant was happy with the decision holding that assessee is entitled to interest on the duty part and therefore, did not contest the issue of interest on the security deposit amount after provisional release of the goods. Learned counsel cited several decisions to submit that when a decision is rendered without taking note of precedent decisions such a decisions has to be taken as per incuriam and therefore, need not be followed. He relied upon the decision of the Larger Bench in the case of Hindustan Lever Limited - 2006 (202) E.L.T. 177 (Tri.-LB.) = 2008 (10) S.T.R. 91 (Tri.-LB). I find that the observations of the Larger Bench in Para 6 are relevant and accordingly, I reproduce the same :- 6. When a decision r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e, the prior order of the Tribunal, which though it could not have taken such decision into consideration, should be examined in the light of the meaning given by the binding decision, warranting rectification on the ground that there was error apparent from the record in not following the law as now declared. Similar view was taken in the case of Maha Shree Aruna Chemicals - 2008 (232) E.L.T. 93 (Tri.-Chennai) = 2010 (18) S.T.R. 239 (Tri.-Chennai), Action Construction Equipment Limited - 2010 (257) E.L.T. 559 (Tri.-Del.). Under these circumstances, in view of the fact that the decision of the Hon ble High Court of Himachal Pradesh and of the Tribunal were not cited before the Tribunal while contesting the issue in Calcutta Iron Steel C ..... X X X X Extracts X X X X X X X X Extracts X X X X
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