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2019 (10) TMI 1114 - AT - Customs100% EOU - Demand of Interest - principles of of promissory estoppel - Benefit of N/N. 52/2003-Cus denied - duty short/ not paid by the Appellants demanded alongwith the interest - Section 28 of the Customs Act, 1962 - case of appellant is that once they had been allowed registration as EOU, and clearance of the goods by allowing the exemption under Notification No 52/2003- Cus, the demand made under Section 28 and demand of interest under Section28AA/ 28AB will be hit by the principles of promissory estoppel. HELD THAT:- Hon’ble Supreme Court in the cases of ELSON MACHINES PVT. LTD. VERSUS COLLECTOR OF CENTRAL EXCISE [1988 (11) TMI 107 - SUPREME COURT], PLASMAC MACHINE MFG. CO. PVT. LTD. VERSUS COLLECTOR OF CENTRAL EXCISE [1990 (11) TMI 142 - SUPREME COURT] and in COMMISSIONER OF CUSTOMS, CALCUTTA VERSUS INDIAN RAYON & INDUSTRIES LTD. [2008 (7) TMI 401 - SUPREME COURT] has constantly held that there is no estoppel against the operation of law. In view of the specific provisions Section 28 of Customs Act, 1962, providing for the demand of duty short/ not paid at the time when the same was due, we are not in agreement with the submissions made by the appellant by invoking the principle of promissory estoppel. It is also settled law that in case of exemption, it is responsibility of the person claiming the exemption to satisfy that the said exemption is available to him - demand of interest upheld. Permitting the debit of the duty demanded in cash from SFIS Scrips - HELD THAT:- It is not in dispute that during the relevant period when the imports were made such debits from the SFIS Script was not permitted. Had the appellants claimed the duty exemption against the EPCG Licenses issued to them in 2005, at the time of import, they would have paid duty @ 5.1% in cash. Now when the benefit of inadmissible exemption has been denied to them, and as special measure benefit of debit against EPCG license has been allowed by the EPCG Committee against the licenses issued in 2005, appellants could not be placed in better position then what they would have been in if they had cleared these goods against these license - there are no infirmity in the order of Commissioner denying the debit from SFIS Scrip/ License specifically for the reason that no one should be allowed to take benefit of his own wrongs. Appeal dismissed - decided against the appellant.
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