Page 237 - ELT_1st June 2020_VOL 372_Part 5th

2020 ] IN RE : INDO SHELL CAST PVT. LTD. 771

towards import of capital goods under Bill of Entry No. 777227, dated
2-7-2004 and EPCG licence No. 0230002233 dated 26-3-2007.
(ii) Interest as applicable in terms of Notification No. 97/2004-Cus., dated
17-9-2007 read with the terms of the Bond dated 22-5-2007 executed
by it, should not be charged on the Customs duty demanded at (i)
above.”
6.5 In contrast, the First proviso to Section 127B of the Act reads as un-
der :
“PROVIDED that no such application shall be made unless: -
(a) xxxxxxxxxxxx
(b) the additional amount of duty accepted by the applicant in his applica-
tion exceeds three lakh rupees; and
(c) the applicant has paid the additional amount of customs duty accepted
by him along with interest due under Section 28AA.”
[stress provided]
6.6 From the above, it is seen that while the legal provision under first
proviso to Section 127B refers to “………. interest due under Section 28AA”; the
interest in the impugned SCN has been demanded under provisions of the Noti-
fication No. 97/2004-Cus., dated 17-9-2004 (though erroneously typed as 2007 in
the SCN) and the Bond dated 22-5-2007. Thus, strictly legally speaking, since the
interest in the instant case has not been demanded under Section 28AA, the bar
of the clause (c) of the first proviso to Section 127B of the Act is technically not
applicable. Therefore, the application survives, though the applicant had not
paid the interest due on accepted duty liability.
7. Accordingly, we allow the application to be proceeded with.
_______

2020 (372) E.L.T. 771 (Sett. Comm.)
BEFORE THE SETTLEMENT COMMISSION, CUSTOMS, CENTRAL
EXCISE AND SERVICE TAX, CHENNAI
[ADDITIONAL BENCH]
S/Shri C. Rajendiran, Vice-Chairman and R.D. Negi, Member
IN RE : INDO SHELL CAST PVT. LTD.
Final Order No. 09/2019-CUS., dated 21-3-2019 in Settlement Application No. S.A.
(C)/33/2018-SC in File No. S.A. Cus/33/2018-SC
Settlement Commission - Admission - Adjudication order issued when
application for settlement already filed with Bench - Order-in-Original passed
only after written request made by applicant company stating that application
filed before Settlement Commission at Chennai for release of pending draw-
back - Thus, adjudication order became effective subsequent to filing of appli-
cation with Settlement Commission - Applicant complied with requirement of
Provisions under Section 127A(b) of Customs Act, 1962 since proceedings fall
with definition of 'case' and same pending before Customs Officer on date on
which application made in accordance with provisions of law - Order-in-
EXCISE LAW TIMES  1st June 2020  237