TMI Blog2015 (2) TMI 1056X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Central Excise Act for recovery of dues pending against a manufacturer- defaulter from the person who purchased his business alongwith his factory. Such a provision was made by inserting proviso to section 11 with effect from 10.09.2004 and by this proviso to section 11, the arrears of Revenue pending recovery from the predecessor could be recovered even after change of ownership of the factory by attaching the machinery, vessels, utensils, implements and articles in possession of the successor of business. Since, there is nothing in this proviso to indicate that this amendment has retrospective effect, the same cannot be applied retrospectively and therefore the Department invoking Proviso to Section 11 could not recover from the r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... siness alongwith the factory, by attaching the machinery, vessels, utensils, implements and articles in the possession of that person. The Assistant Commissioner invoking the Proviso to Section 11 initiated recovery proceedings against the respondent by attachment order dated 29.10.2004 attaching the land and building of the respondent. On appeal being filed to Commissioner (Appeals) against the order dated 29.10.2004 of the Assistant Commissioner, the Commissioner (Appeals) vide order in appeal dated 04.04.2005 allowed the respondent s appeal holding that the dues pending recovery against the previous owner M/s.Unistar Polymers (P) Ltd. cannot be recovered from the Respondent (present owner) and in this regard he relied upon the judgment o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... om 10.09.2004 would not apply to a successor in business who purchased the business and the factory of the default during the period prior to 10.09.2004. She pleaded that the ratio of the judgment is squarely applicable to the facts of the case. 5. We have considered the submissions from both the sides and perused the records. The undisputed facts are that the factory premises alongwith all the plant and machineries were taken over by the respondent from its previous owner M/s. Unistar Polymers (P) Ltd. on 31.07.2003 and the Central Excise Registration Certificate was issued to the respondent on 03.12.2003. There was a confirmed duty demand and penalty totalling to ₹ 9,73,676/- pending recovery against M/s. Unistar Polymers (P) Ltd ..... X X X X Extracts X X X X X X X X Extracts X X X X
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