TMI Blog2005 (5) TMI 85X X X X Extracts X X X X X X X X Extracts X X X X ..... s is illegal and unlawful. A further prayer is seeking direction qua respondent No. 3 to return the cheques which are not deposited. 4.The petitioner, a Private Limited Company engaged in business of processing of textiles, dyeing and printing, has approached the Court challenging the arbitrary and high handed action on part of respondent No. 3 in initiating recovery of alleged Central Excise duty which the petitioner is not liable to pay in accordance with law. It is averred in the petition that, in connection with some inquiry, in case of one Avinash Exports, the petitioner was served with summons on 30th November, 2004 and ultimately, in pursuance of the said summons, statement of a Director of the petitioner was recorded. It is the sa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d funds forcibly recovered from the petitioner. 7.Mr. Malkan appearing on behalf of respondent authorities has submitted that the petitioner had deposited the cheques for payment of excise duty voluntarily and only with a view to avoid liability to interest and penalty, as provided under Sections 11AB and 11AC of the Central Excise Act, 1944. It is further stated that there was no coercion exercised by the respondent authorities. Lastly, it was submitted that the facts being identical with the case of Century Dyeing Printing Mills v. Union of India in Special Civil Application No. 3983 of 2005, decided on 6-5-2005 [2006 (199) E.L.T. 400 (Guj.)], on behalf of respondent authorities, same contentions as were raised in the earlier case are ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion which is entitled to retain money without sanction of law. Therefore, without entering into the controversy as to whether payment was voluntary or otherwise, in absence of any statutory backing, the funds recovered by the respondent authorities by way of various cheques collected by them, cannot be permitted to be retained and are required to be refunded forthwith. The learned Counsel for Revenue has failed to point out a provision which empowers the authorities to collect and retain cheques in this manner. 10.Needless to state that this action, namely, of refunding the amount, will not entitle the petitioner to contend that it is absolved on merits, in case at the end of inquiry and adjudication process, it is found that the petitio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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