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TMI Blog2016 (12) TMI 1498X X X X Extracts X X X X X X X X Extracts X X X X ..... - and appropriation of an amount of Rs. 9,08,729/- and Rs. 46,30,926/- already paid in cash or by enforcing the bank guarantee, Ld. Commissioner also ordered for recovery of appropriate amount of interest under the terms of condition of the Bond executed by the importer. 2. The fact of the case is that the appellant imported and cleared duty free import of various components, parts & machinery etc. for the manufacture of condensate polishing unit and equipment for supply to Chandrapur Thermal Power Unit No. 7 of M/s. Maharashtra State Electricity Board which was financed by World Bank(IBRD). The intelligence gathered, indicated that the World Bank was not financing the said project at the time of the issue of the Special Imprest Licence (S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts that even though there is no provision of charging interest but if it is condition of the notification, interest is recoverable as held in the decision of Sanghi Industries Ltd Vs. Commr. of Cus.(Export Promotion), Mumbai[2012(277) ELT 365(Tri. Mumbai)]. 5. We have carefully considered the submissions made by both sides. 6. We find that the fact of the case is that though the appellant was required to execute the bond in respect of duty and interest thereon. However the appellant executed the bond only in respect of duty and there is no mention about interest in the said bond. Even the bond accepting authority has not raised any objection at the time of execution of the bond. Ld. Commissioner in the order has explicitly mentioned that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aterials executes a bond with such surety or security and in such form and for such sum as may be specified by the Assistant Commissioner of Customs binding himself to pay on demand an amount equal to the duty leviable, but for the exemption, on the imported materials in respect of which the conditions specified in this notification have not been complied with, together with interest at the rate of twenty-four percent per annum from the date of clearance of the said materials." 20. A reading of this Notification makes it clear that interest at the rate of 24% per annum is only liable to be paid if at the time of clearance of the imported materials the importer executes a bond in which such interest is stated to be payable. We have been sho ..... X X X X Extracts X X X X X X X X Extracts X X X X
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