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TMI Blog1998 (10) TMI 74X X X X Extracts X X X X X X X X Extracts X X X X ..... azines. 2.In view of certain subsequent events, we are relieved of going into the constitutional validity of the impugned notification. While these writ petitions were pending, this Court by an order dated 12-12-1996 passed the following order :- "We have heard the opening arguments of Mr. R.F. Nariman, learned Counsel for the writ petitioners. Having regard to what has been stated, it seems to be an appropriate case where the Union Government should consider the matter itself. Mr. Nariman states that an appropriate representation shall be made and Mr. Joseph Vellapally, learned Counsel for the respondent, states that a supporting recommendation to consider the same shall also be made. Adjourned for 8 weeks." 3.Pursuant to the above orde ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... consider the above matter keeping in perspective Article 19(1)(a) of the Constitution of India. The Government has on that basis reduced the burden of duty on glazed newsprint. The entire basis of reduction of customs duty, therefore is to reduce the economic burden on the newspaper industry. In these circumstances there is no question of any denial of refund on any ground whatsoever. Secondly, in any event, it is stated that the duty pertains to import of glazed newsprint. This glazed newsprint is consumed in the printing and publishing of news magazines. It is a well known fact that the cost of production of each copy of a news magazine exceeds its retail sale price. The economic survival of the newspapers and news magazines, for this rea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tention of the petitioners that the said levy is unconstitutional. Shri Kailash Vasdev, the learned Counsel appearing for the petitioners in W.P. (C) No. 284/90 states that the petitioners in this case are also prepared to accept the said offer in the same terms. W.P. (C) No. 931/89. Dr. V. Gauri Shankar, the learned senior Counsel appearing for the petitioners states that the petitioners are agreeable to the offer but he submits that the petitioners should also be paid the interest on the excess amount which is to be refunded to them on the basis of the said offer. The learned Counsel for the petitioners states that they are not agreeable to the condition laid down by the Government of India that refund would be subject to the provision ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s. Ranjana Jha dated 14-1-1998 is also applicable to the petitioners in other cases including W.P. (C) No. 272/90. Shri K.V. Mohan, learned Counsel appearing for the petitioners in the said petition prays for two weeks' time to indicate the response of the petitioners to the said offer contained in the affidavit. Put up after four weeks." 7.These matters ultimately came up for final disposal on 15-10-1998. 8.Dr. Gauri Shankar, learned Senior Counsel appearing for the petitioner in W.P. 931/89, reiterated his contention that the petitioner in W.P. 931/89 is entitled to get interest on the refund to be made pursuant to the concession made in the affidavit dated 14-1-1998 and filed on behalf of the respondents on 15-1-1998. 9.Mr. Salve, le ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted that even in the absence of any counter affidavit on behalf of the respondents the refund, to be made by the respondents, will be subject to the ratio laid down by this Court in Mafatlal Industries case (supra). 12.We have carefully considered the rival submissions and gone through the affidavits filed on behalf of the petitioners in W.P. 1103/89 and that of the respondents through Ms. Ranjana Jha, Under Secretary, Ministry of Finance. It is an admitted fact that the impugned levy remained in force only for a period from 1-3-1989 to 24-1-1990, and from 25-1-1990 the respondents restored the duty of customs to Rs. 550/- per metric tonne which was the duty prevailing earlier to the rate prescribed under the impugned notification. It is, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... A of the Customs Act, 1962, relied on by the learned senior Counsel, will not have any role to play . We, therefore, reject the claim of interest on the refund to be made by the respondents pursuant to this order. 14.The bank guarantee, if any, furnished by the petitioner in W.P. 272/90, as stated by the learned Counsel to secure the recovery of the customs duty over and above 15% ad valorem, in the event of the petitioner not succeeding in his case, shall stand discharged in view of the conclusions reached above. 15.In the result, the writ petitions are disposed of by holding that the respondents are entitled to levy and recover only to the extent of 15% ad valorem on the glazed newsprint imported/cleared by the petitioners during the pe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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