Home Case Index All Cases Customs Customs + AT Customs - 2019 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (11) TMI 296 - AT - CustomsSTPI units - Unauthorised procurement of inputs - Benefit of N/N. 153/93-CUS - Appellant procured the goods from three Indian manufactures without payment of duty of central excise on the basis of the certificates given by the authorities - It is the contention of the appellant that they had procured the goods from the local manufactures only on the basis of the certificate given by the Superintendent and as such there cannot be any contravention of the permission granted by the Director STPI or the Notification No.153/1993-CUS. - penalties - HELD THAT:- The permission to import the goods in terms of the notification was granted, which permission has not been utilized by the assessee, inasmuch as there is no dispute that no imports were made by the appellant and the entire dispute revolves around the procurement of indigenously made goods, without payment of duty. Admittedly the certificate of the Superintendent has permitted the appellant to procure such duty free goods but such permission was subject to the execution of B17 bond. The procurement of the goods from indigenously manufactures is not covered by any exemption notification. The said manufactures have cleared the goods without payment of duty on the basis of the representations made by the appellant by showing the certificates etc. and intimating the manufactures that the goods are entitled to be received by them without payment of duty. The demand stand raised and confirmed against the appellant in terms of the B17 bond, which is only for an amount of ₹ 40,00,000/-(forty lakhs). As such we are of the view that asssesse’s liability would be restricted to the amount covered by the said B17 bond - As such we reduce their liability to the interest of ₹ 40,00,000/-(forty lakhs) in toto. Penalties - HELD THAT:- The procurement of the goods free of duty, were on the basis of the said certificates issued by the authorities and does not reflect upon mala fide or the assessee so as to invoke any penal action against them - Penalties set aside. Appeal allowed in part.
|