TMI Blog2003 (3) TMI 586X X X X Extracts X X X X X X X X Extracts X X X X ..... imited (NWSL) were exporters of textile made ups. M/s. Asmita Fabrics, M/s. Neha Garments and M/s. Krislon Synthetics Pvt. Ltd. were units which covert textile fabrics supplied by M/s. BDMC and NWSL. The transfer of textile fabrics was made without payment of duty for being converted into made up articles specifically for the purpose of export was done in terms of Notification No. 47/94-C.E. (N.T.) issued in terms of Rule 13(1)(b) of the Central Excise Rules, 1944. In terms of this provision substantial amount of textile fabrics was sent to the converter units, converted into made-up articles, which articles were sent back to the supplier units awaiting export. For movement without payment of duty, both the suppliers and job workers had fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Shri Patil, Advocate referred to the documents placed on record leading to the sale of the damaged goods. The intimation was given to the department vide letter dated 13-7-2000. It is his statement that the jurisdictional officers had come to the godown and had examined the damaged goods. He referred to the letter dated 28-8-2000 wherein the intention of the suppliers to salvage and sell the damaged goods and to pay duty on the maximum price fetched on the sale of such goods was communicated to the Department. Once again the request was made for deputing the officers for verification of extent of damage. Remission of duty calculable on the valuation at which the goods will be sold and the value earlier shown in the documents were sought. T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Commissioner was justified in confirming the demands. 7. We have carefully gone through the proceedings. In appeal memorandum and at the time of personal hearing bar of limitation is pleaded. It was claimed that the fact of damage and the intention of the assessees to sell the damaged textiles were in the knowledge of the department. The demand made by the show cause notice dated 4-10-2001 was therefore clearly barred by limitation. We have referred to the contents of this letter earlier and find that the intention to sell possible at lower price was brought to the notice of the department. We also observe that the demand is made both on the fabrics supplied free of duty as also on the made ups returned by the job-workers and find force ..... X X X X Extracts X X X X X X X X Extracts X X X X
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