AI Structured Summary
Not yet generated for this judgment
Judgment
By order dated 23.11.1978 the Superintendent of Central Excise, Madras, ordered the confiscation of 450 kg. of brass sheets and articles
seized from the petitioner mills. The petitioner was given an option to redeem the confiscated goods on payment of fine of Rs. 3,000/- within one
month from the date of the receipt of the order.
This order was an appealable one. u/s 35 of the Central Excise Act, the petitioner had a period of three months for preferring appeal. The
appeal itself was disposed of by order dated 17.4.1980 and the Appellate Authority held that the redemption fine shall be only Rs. 1,500/-. When
the petitioner received information that the confiscated goods are to be auctioned, he filed an application for permission to redeem the confiscated
goods. They also pleaded that they had paid all the amounts as per the orders of the Appellate Authority. But the Assistant Collector by his order
dated 4.10.1980 has held that since the petitioner has not exercised their option to pay the fine in lieu of confiscation within the period specified in
the order in original, the goods stand absolutely confiscated to the Government and no redemption is possible. The petitioner preferred an appeal
to the Collector of Central Excise who by an order dated 13.1.1982 dismissed that appeal stating that since goods had not been redeemed within
the time limit stipulated in the adjudication order the goods cannot be released to them at this stage. It is against these orders of refusing to permit
the petitioner to redeem the goods this writ petition has been filed. In more or less similar situation, Kerala High Court has held in Writ Petition No.
90 of 1983 that
The most liberal interpretation in favour of the respondent could be that the time of three months fixed by the original order must be recorded as
the time which was commenced running from the date of the disposal of O.P. No. 2421 of 1977, namely, 30.11.1979.
The Kerala High Court has thus taken the view when the order in original has fixed time for redemption and on appeal, the appellate authority
confirmed the refusal order or modified the same, the time for redemption was taken to be the appellate authority''s order.
Since the order cited in this case proceeded on the basis that time begins to run from the date specified in the order in original and there is non-
application of mind with reference to the date of receipt of the order of the appellate Authority the matter is remitted to the Assistant Collector of
Central Excise (third respondent) for fresh disposal according to law, in the light of the judgment of the Kerala High Court made in W.P. No. 90 of
1983. There will be no order as to costs.