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2014 (6) TMI 237 - AT - Central ExciseDuty demand - Remission of duty - finished goods as well as raw materials destroyed in fire - demand on inputs imported / procured free of duty - interest - 100% EoU manufacturing bulk drugs and pharmaceutical products - Held that:- in terms of the bond executed, the appellant is liable to discharge Customs duty liability on the imported raw materials destroyed as such in the fire accident or the imported raw materials contained in the finished products destroyed as such. Domestically procured goods were destroyed when they were being stored in the manufacturer's premises and therefore, the appellant cannot seek remission under Rule 21 of the Central Excise Rules, 2002 as the condition of permission stipulates the appellant would be liable to pay excise duty if the goods are not used for the intended purpose. Notification 1/95, under which the goods have been procured, stipulates that the goods have to be used in the manufacture of specific products which are required to be exported. Inasmuch as, in the present case, this condition is not satisfied, the appellant is liable to discharge duty on the raw materials destroyed during storage in the manufacturer's premises - once the goods are procured duty-free under exemption Notifications, the provisions of Section 23 of the Customs Act, will have no application - Following decision of Antarctica Ltd. [2009 (2) TMI 477 - CALCUTTA HIGH COURT ] and S.K. Pattanaik's case [1999 (12) TMI 60 - SUPREME COURT OF INDIA] - Decided against assessee.
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