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2013 (5) TMI 121 - BOMBAY HIGH COURTPre-deposit of duty - CESTAT directed to deposit Rs. 5 crores against stay order - extended period of limitation - Availing Concessional rate of duty as per Notification No. 23/2003 - Failure on the part of the assessee to disclose use of the imported raw materials in the manufacture of the final product constituted suppression of facts - Held that:- The Apex Court in the case of Vanasthali Textiles Industries Ltd. v. Commissioner of Central Excise, Jaipur, Rajasthan - [2007 (10) TMI 303 - SUPREME COURT OF INDIA] has held that consumables are the inputs which are used in the manufacturing process but are not identifiable in the final product by reason of the fact that it gets consumed in the manufacturing process. In the present case, since the approximate consumption of imported ‘Selbana’ is only 0.02%, it may be that the assessee formed a belief that the same was consumable and not a raw material in the manufacture of the final product. Moreover, it is not in dispute that in the present case, the plant, machinery and building belonging to the assessee have already been taken over by the Asset Reconstruction Company (India) Ltd. in the year 2007. Apart from the above, the assessee has also been declared as a sick unit under the Sick Industrial Companies Act, 1985. - Stay granted in full - order of CESTAT modified.
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