Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2019 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (4) TMI 991 - AT - Central ExciseViolation of import condition - benefit of N/N. 32/2005-Cus - it is alleged that in terms of Notification No.32/2005-Cus, the importer shall not transfer or sale the imported goods - HELD THAT:- Admittedly, in this case, the goods have been transferred by the appellant to the job worker for further processing but no demand has been raised under Customs Act, 1962 for contravention of conditions of Notification No.32/2005-Cus. Therefore, on that count, no demand is sustainable against the appellant. CENVAT credit denied for violation of condition of notification - the allegation of the department is that systematic rubber has been sent by Windsor was not received back and no machinery installed in the factory, therefore no manufacturing process can take place in the factory of M/s. Windsor - HELD THAT:- As it is already held that for violation of conditions of Notification No.32/2005-Cus dt.8.4.2005, there is no demand notice has been issued for recovery of customs duty, therefore, import cannot be held irregular. Thus, the credit cannot be denied on the allegation of violation of conditions Notification No.32/2005-Cus dt.8.4.2005. Therefore, the allegation is not sustainable. Further, it has been alleged that there is no entry of passing of vehicle on the basis of report of NHAI - HELD THAT:- Revenue has failed to show the evidence except the report of NHAI in the form of the statements/records of vehicle owner to ascertain the fact to came to the conclusion that these goods vehicles in question have not transported the goods from Ludhiana to Jalandhar or Jalandhar to Ludhiana. Except from the report of NHAI, no documents has been placed by the Revenue whether it is mere paper transaction, therefore the credit cannot be denied when the goods have been cleared on payment of duty. CENVAT credit - credit sought to be denied to M/s. Kohinoor Enterprises, M/s. Asian Tire Factory Limited and M/s. Vinko Auto Industries on the ground that no goods have been travelled from M/s. Windsor and only invoices have been moved - HELD THAT:- There is no record of passing of toll barrier were recorded therein. In this case, except the report from the toll barrier, no efforts were made by the Revenue to ascertain whether the entries are of found at toll barrier and whether the goods fond travelled from Ludhiana to Jalandhar or Jalandhar to Ludhiana or not. In fact, investigation with regard to the transporter is essential to ascertain whether they have transported the goods from Windsor to the buyer’s premises or not. Penalty - HELD THAT:- As it is held that the credit cannot be denied and therefore no proceedings initiated against M/s. Windsor Exports under Customs Act, 1962 as no cogent evidence has been produced by the appellant for non movement of the goods along with invoices, the benefit of doubt goes in favour of the appellants - Penalty also set aside. Appeal allowed - decided in favor of appellant.
|