TMI Blog2023 (8) TMI 939X X X X Extracts X X X X X X X X Extracts X X X X ..... rs since its expiry giving sufficient time for the D,C. s office in coming to a decision in the matter - It is found that the Show Cause Notice does not contain any allegations of a blameworthy act by the appellant except his license was not renewed by the D.C. A person who sets out to do business is at times caught in circumstances beyond his control. It is for the department s concerned to ensure that such bonafide assessee are facilitated and not subjected to needless quasi-judicial proceedings which involve a penalty. To have a setback in business is not a punishable offence. Each situation has to be examined on its merit and hardship should not be caused to a compliant assessee just because a provision in law enables the discretionary ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... C (AR) for the Respondent ORDER This appeal is filed by M/s. Beach Minerals Company against Order in Appeal No. 46/2021 dated 13.12.2021 passed by the Commissioner (Appeals), Madurai. 2. The facts of the case are that M/s. Beach Minerals Company, Muthiapuram, Tuticorin, which is an 100% EOU, were holders of LOP/Green card valid up to 6.10.2014 for manufacture of garnet, ilmenite, rutile and zircon. However, their LOP/Green card along with bonded warehouse license and in-bond manufacture sanction order were found to have not been extended after its expiry on 06.10.2014. They were hence issued a Show Cause Notice (SCN) dated 04.10.2019 demanding an amount of Rs.34,88,133/- being the duty forgone on capital goods, packing material ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... beyond their control, whereby both State Government and Central Government had not approved new mining lease from the year 2000, the appellant was forced to opt out of the EOU scheme and had hence requested the D.C. for issuing an in-principle approval for exit from EOU vide their letter dated 22.3.2017. Also they had vide their letter dated 1.3.2019 requested permission from MEPZ for debonding of capital goods. However, the D.C. issued an in-principle exit order on 17.12.2019 and extended it up to 16.12.2021. Meanwhile, the jurisdictional Assistant Commissioner of Central Excise, Tuticorin issued a SCN to them on 4.10.2019 and without waiting for their request to MEPZ first for extension of the green card / LOP and subsequently for exit f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ints given in the impugned order. 7. I find that the issue before me falls on a short compass i.e. that the impugned order was passed without taking into consideration the request made by the appellant to the D.C. for extension of LOP/Green Card. Subsequently, due to operation of law, mining operation have been banned and they were forced to exit from the EOU operations. Their application for the same has since been obtained and the in-principle exit order dated 17.12.2019 has been extended up to 16.12.2021. Hence duties need to be determined afresh. 8. I find that the issue of Show Cause Notice dated 04.10.2019 to the appellant appears premature and issued before the appellants request to the D.C. had been finalised. However, it is a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of export obligation is arrived at by the Development Commissioner. Delays in receiving final permission must be taken up by the jurisdiction Customs / Central Excise authorities with the Development Commissioner / Director STP so that the matter is not delayed. The appellant has showed his willingness to pay the duty as per the normal process of debonding at the time of exit from EOU scheme. Hence, I feel that in the light of the development the matter needs to be remanded to the adjudicating authority to examine the facts and decide all the issues raised by the appellant regarding depreciation, destruction of obsolete goods etc. and arrive at the duty payable along with interest, afresh. 9. Having regard to the facts and circumstances ..... X X X X Extracts X X X X X X X X Extracts X X X X
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