C/85883/2023 — COMMISSIONER OF CUSTOMS-NHAVA SHEVA - V vs KRUPACHATON MANUFACTURING CO P LTD

CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL, MUMBAI

REGIONAL BENCH - COURT NO. I

Customs Miscellaneous Application No. 85883 of 2023
In Customs Appeal No. 85883 of 2023

(Arising out of Order-in-Appeal No. 144(Gr.III)/2023(JNCH)/Appeals dated 21.02.2023 passed by the Commissioner of Customs (Appeals), Mumbai-II)

Commissioner of Customs, Nhava Sheva-V

.… Appellant Jawaharlal Nehru Custom House,
Nhava Sheva, Distt. Raigad,
Maharashtra – 400 707.

Versus

M/s Krupa Chaton Manufacturing Company Pvt. Ltd. …. Respondent 5/32, 2nd Panjrapole Lane, C.P. Tank Road, Mumbai – 400 004.

APPEARANCE: Shri C.S. Vinod, Authorized Representative for the Appellant

Shri D.C. Manjrekar, Company Representative for the Respondent

CORAM: HON’BLE MR. S.K. MOHANTY, MEMBER (JUDICIAL) HON’BLE MR. M.M. PARTHIBAN, MEMBER (TECHNICAL)

FINAL ORDER NO. A/85774/2026

Date of Hearing: 17.06.2026 Date of Decision: 17.06.2026

PER: S.K. MOHANTY

Heard both sides and perused the case records.

This miscellaneous application is filed by the Revenue seeking withdrawal of appeal on the ground of Litigation Policy.

Feeling aggrieved with the impugned order 21.02.2023 passed by the learned Commissioner of Customs (Appeals), Mumbai Zone-II, Revenue has preferred this appeal before the Tribunal. The amount of differential duty involved in the impugned proceedings is Rs.39,52,621/-.

2 C/85883/2023

Insofar as the monetary limit for filing of appeal before the Appellate Tribunal is concerned, by deriving the powers conferred in Section 131BA of the Customs Act, 1962, the Central Board of Indirect Taxes and Customs (CBIC) has issued the instructions, from time to time, with the objective in reduction of the Government litigation in the area of Customs. In the latest instruction issued by the CBIC from file F. No. 390/Misc/30/2023-JC dated 02.11.2023, the threshold monetary limit of Rs. 50 lakhs has been prescribed, below which the appeal shall not be filed before the CESTAT. Though at paragraph 2 in the said instructions dated 02.11.2023, there is specific mention of agitating the matter before the Appellate Forum, irrespective of the involvement of the amount on certain issues, but the issue categorized therein are not confirming to the present appeal filed by the Revenue inasmuch as the imposition of redemption fine and penalty is the subject matter of the present dispute. Hence, the appeal can be disposed of in terms of the litigation policy formulated by the Government.

Considering the disputed amount of differential customs duty involved in the present appeal filed by Revenue, being only Rs. 39,52,621/-, which is below the prescribed threshold limit as per the Instruction dated 02.11.2023, the appeal filed by Revenue in our considered view, is liable to be dismissed.
Accordingly, the appeal filed by Revenue is dismissed under the Litigation Policy of the Government.

Miscellaneous application filed by Revenue stands disposed of.

(Dictated and pronounced in open court)

  (S.K. MOHANTY) 

  


 MEMBER (JUDICIAL) 

(M.M. PARTHIBAN) MEMBER (TECHNICAL)

Sinha