Investigation Deposits Are Revenue Deposits; CESTAT Orders 12% Interest on Refund

KLJ Plasticizers Ltd Vs C.C. – Kandla (CESTAT Ahmedabad) The appeal concerned a claim for interest on an amount of ₹5 crore deposited by the appellant during the course of a customs investigation. The amount was paid on 18.09.2014 while the investigation proceeded on the allegation that actual consumption of inputs was lower than that permitted under advance authorisations. After adjudication and further appeal, the Tribunal in a separate final order dated 25.03.2019 held that once Standard Input Output Norms (SION) are fixed, goods are manufactured accordingly, and export obligations are ...