- (1.) In this group of cases common questions arise for determination. They are covered by the decision of this court in J. K. Cotton Spg. and Wvg. Mills Ltd. v. Union of India. By the said decision this court upheld as legal and valid the amendments made to Rules 9 and 49. It was argued that if the amendments are given retrospective effect from the date the rules were framed, i. e. , from 28/2/1944, the assessees would be required to pay an enormous amount of duty. This court appreciated the contention that if the duty has to be paid with retrospective effect from 1944 it would undoubtedly cause great hardship to the assessees but concluded that in view of Section 11 -A of the Act such an apprehension was misplaced. Pointing to clause (1 of Section I I-A it held that it engrafts a rule of limitation of six months and since the proviso to Section 11-A is not applicable the demand though it may Include even a demand formore than six months must be made within a period of six months from the date of the amendment.
(2.) Having considered the facts in this group of cases, in our view, in the light of the observation in J. K. Cotton Spg. and Wvg. Mills' it would be appropriate to direct that in cases where notices under Section 11-A of the Act have been served and the claims are raised within a period of six months from the relevant date, the Revenue would be entitled to realise the dues. In case of dispute as to whether the notice under Section 11-A had been served or not the Assistant Collector will decide the issue. However, in cases where the notices have not been served as yet the Revenue would be entitled to do so within the time limit prescribed by Section 11-A of the Act. In either of the aforesaid eventualities orders will not be passed by the authorities without giving an opportunity to the assessee to make representations against the proposed orders. If notices have already been served for the aforesaid purpose the assessees would have eight weeks' time from today to reply or to make a representation.
(3.) The bank guarantees furnished by the assessees shall be made available for realisation of dues, if any, by the Revenue.;