Nanavati Associates for the Petitioner

1. Draft amendment is allowed. The necessary incorporation shall be carried out at the earliest.

2. By this writ-application under Article 226 of the Constitution of India, the writ-applicant has prayed for the following reliefs:-

8(A) Be pleased to issue a writ of mandamus or a writ in the nature of mandamus or any other writ, order or direction directing the respondent to initiate and complete the final assessment proceedings within a reasonable time period;

(B) Be pleased to issue a writ of mandamus or a writ in the nature of mandamus or any other writ, order or direction directing the respondent to release the Bank Guarantees dated 15.07.1995 and 31.07.1996 in favour of the petitioner;

(C) Be pleased to issue a writ of mandamus or a writ in the nature of mandamus or any other writ, order or directions directing the respondent to return in favour of the petition a sum of Rs.32,11,115/- deposited by the petitioner;

(D) Be pleased to issue a writ of mandamus or a writ in the nature of mandamus or any other writ, order or direction to the respondent to compensate the petitioner for an amount of Rs.96,87,616/- being the monetary losses suffered by petitioner due to bank guarantee charges;

(E) Be pleased to issue a writ of mandamus or a writ in the nature of mandamus or any other writ, order or direction directing the respondent to permit the petitioner to sell their machines;

(F) Grant such other and further relief(s) as may be deemed fit in the interest of justice;

3. We take notice of the intimation dated 15.10.2012 addressed by the Deputy Commissioner of Customs, Contract Cell to the Assistant Commissioner of Central Excise, Vadodara, which reads thus:-

4. We also take notice of one reminder dated 15.12.2018 given by the writ-applicant to the Assistant Commissioner, Vadodara in the aforesaid context. The reminder reads thus:-

5. We also take notice of one letter addressed by the writ- applicant to the Commissioner, CGST, Vadodara dated 07.02.2019, which is at Page-49 of the paper-book, Annexure-K, which reads thus:-

6. The grievance of the writ-applicant is that the final assessment proceedings are yet to be undertaken. No final assessment order has been passed till this date.

7. We also take notice of the averments made in paragraphs-3.3 and 3.4 respectively in the memorandum of the writ-application. 3.3 In pursuance of the aforesaid EPCG license, the petitioner through its manufacturing unit i.e. Modern Petrofils had imported various items between 7.7.1995 to 30.7.1997. Bill of entries were assessed provisionally and the goods were cleared for home consumption and used for manufacture of finished goods. However, till date the bill of entries is pending final assessment. The petitioner had also executed a bond along with bank guarantees bearing no.004/03 dated 15.07.1995 for Rs.4,18,88,085/- and 004/85 dated 31.07.1996 for Rs.4,49,484/- as secutiry for their imports. Along with the Bank Guarantee of Rs.4,18,88,085/-, the petitioner had also deposited an amount of Rs.32,11,115/- with the Custom Authorities, which is due to be refunded to the petitioner.

3.4 The bank guarantees; totally amounting to Rs.4,23,37,569/-, have been extended till date since its issuance in 1995 and 1996 respectively. Marked and annexed hereto as Annexure-C is the copy of the letter dated 26.06.2020 granting extension of bank gurantee issued by Axis Bank. The total bank guarantee charges which the petitioner had had to borne till date amount to Rs.96,87,616/-. Marked and annexed hereto as Annexure-D is the computation of bank guarantee charges.

8. We have heard Mr. Pratik Bhatia, the learned counsel for Nanavati Associates appearing for the writ-applicant and Mr. Nikunt Raval, the learned standing counsel appearing for the respondents.

9. We have gone through the affidavit-in-reply filed on behalf of the respondents. We do not intend to enter into the merits of this litigation as the issue is still at large before the Assistant Commissioner, Vadodara. Our only concern is the delay that has occurred in the present litigation in finalizing the assessment proceedings.

10. We direct the Assistant Commissioner of Central Excise, Vadodara to immediately take up the matter and see to it that the assessment proceedings are concluded finally with an appropriate order of assessment in accordance with law within a period of two (02) months from the date of the receipt of the writ of this order.

11. If the Assistant Commissioner of Central Excise, Vadodara is in need of any documents to finalize the assessment proceedings, then it may intimate the writ-applicant at the earliest to furnish such documents. If the writ-applicant receives any such intimation, it shall act promptly for effective and expeditiously disposal of the assessment proceedings.

12. With the aforesaid, this writ-application stands disposed of. The connected Civil Application also stands disposed of.

Direct service is permitted.

One copy of this order shall be furnished to Mr. Nikunt Raval, the learned standing counsel at the earliest for its onward communication.

(J. B. PARDIWALA, J)

(NISHA M. THAKORE,J)