Lambda Therapeutic Research Limited Vs C.C.-Ahmedabad (CESTAT Ahmedabad)
The case concerns a demand of ₹6,11,800 raised against Lambda Therapeutic Research Limited for the period 2007–2008 to 2011–2012. The demand was based on the department’s contention that the company’s import of bioequivalence drugs for clinical trials was not entitled to the claimed exemption. The Commissioner (Appeals) had denied the benefit on the ground that the application under the Drugs and Cosmetics Act should have been filed in “Form 44.”
The appellant argued that this finding was factually incorrect, as the records, including page 100 of the appeal memo, clearly indicated that the application dated 11 September 2009 had indeed been filed in “Form 44.” Therefore, the objection was unsustainable and based on a factual error. The departmental representative supported remanding the matter to verify the record and allow the Commissioner (Appeals) to reconsider the issue based on the existing and any new evidence.
Accepting the submissions from both sides, CESTAT Ahmedabad held that the issue required fresh examination. The Tribunal remanded the matter back to the Commissioner (Appeals) for de novo adjudication with liberty to the appellants to furnish any additional material, documents, or case laws. The Tribunal also directed that the penalties imposed on the two individual appellants be reconsidered in accordance with the final outcome of the demand. The appeals were thus allowed by way of remand.
