JANKI NEWSPRINT LTD vs PRINCIPAL COMMISSIONER OF CUSTOMS NEW CUSTOMS HOUSE, AIR CARGO IGI AIRPORT, NEW DELHI

Judgment text excerpt

$~ * IN THE HIGH COURT OF DELHI AT NEW DELHI Reserved on: 13th February, 2025 Date of decision:12th March, 2025 + W.P.(C) 1919/2020 JANKI NEWSPRINT LTD .....Petitioner Through: Mr. Pradeep Jain and Mr. Sambhav Jain, Advs. versus PRINCIPAL COMMISSIONER OF CUSTOMS NEW CUSTOMS HOUSE, AIR CARGO IGI AIRPORT, NEW DELHI .....Respondent Through: Mr. Akshay Amritanshu, Sr. SC, CBIC with Ms. Drishti Saraf and Ms. Pragya Upadhyay, Advs. (M: 9931282222) CORAM: JUSTICE PRATHIBA M. SINGH JUSTICE DHARMESH SHARMA JUDGMENT Prathiba M. Singh, J. 1. The present petition has been filed by the Petitioner under Article 226 of the Constitution of India, inter alia, challenging the impugned Final Order No. F-3479/CUS/2019-SC(PB) dated 23rd January, 2019 passed by the Customs, Central Excise & Service Tax Settlement Commission, Principal Bench, New Delhi (hereinafter “the Settlement Commission”) under Section 127C(5) of the Customs Act, 1962 (hereinafter “the Act”). 2. Vide the impugned Final Order, the Settlement Commission, inter alia¸ has rejected the claim of the Petitioner for CENVAT Credit of the ‘countervailing duty’ (hereinafter “CVD”) paid on the imported capital goods. Signature Not Verified W.P.(C) 1919/2020 Page 1 of 25 Signed By:RAHUL Signing Date:10.03.2025 21:26:38 I. Factual Background 3. The Petitioner is a company engaged in manufacturing and sale of craft paper. It was established in the year 2000 and started manufacturing activities in the year 2002. Until 2014-15, the Petitioner was engaged in manufacturing of writing and printing paper as also news print. However, thereafter it started manufacturing craft paper. In respect of the said manufacturing, certain capital goods i.e., plant and machinery were imported by the Petitioner during the years 2004-07 at a concessional ra