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Tuesday, August 18, 1998

Cegat defers ITC verdict

ENS ECONOMIC BUREAU  
NEW DELHI, Aug 17: The Customs Excise and Gold (Control) Apellate Tribunal (Cegat) has postponed the final verdict in the case involving alleged Rs 803.78 crore excise evasion by ITC Ltd till September 4.

The final judgment of the Cegat was earlier slated to be delivered on Monday. The tobacco-major is believed to be weighing options of either going in for the new Kar Vivad Samadhan scheme or approaching a higher judicial authority, in case the judgment goes against the company.

The Samadhan scheme will be operational between September and December in which the amount payable will be 50% of the arrears. The case dates back to 1987, when customs had issued show-cause notices to ITC for alleged excise evasion. The charge entailed collusion between the company and retailers in selling cigarettes at a price higher than that printed on the package which was the basis of levying duty during the period.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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