TMI Blog2009 (7) TMI 990X X X X Extracts X X X X X X X X Extracts X X X X ..... sh Tobacco Ind., and 3) Sh. Ramesh Chand Malani, partner of M/s. Dinesh Tobacco Ind., (hereinafter referred to as the Co-Applicants) for settlement, under 127B of the Customs Act, 1962. The applicant and the co-applicants have all signed the said single application. 2. The Brief facts of the case are that this is a case of undervaluation. In this case the Applicants imported total quantity of 490.6 MTs of Betal Nuts from Dubai through Nhava Sheva and New Custom House, Mumbai vide 10 Bills of Entry, during the period from Aug, 2004 to Nov, 2006. During the course of investigation, the Income Tax Authorities provided the revenue with documentary evidence about its indulgence in undervaluation. The said consignment was shipped from Indonasia ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... transaction value agreed and paid to the overseas suppliers as per the documentary evidence and the statement of the partner of M/s. Dinesh Tobacco Industries and other concerned persons it clearly appears that the actual transaction value was much higher than invoice value. The differential amount was admitted and was paid by the Applicant during the course of investigation. 2.2 The Applicant, in true spirit of settlement and accommodation, accepted the differential duty amount to Rs. 3,78,67,867/- which have already been deposited alongwith the interest. The Applicant has also undertook that he would not indulge in any duty evasion or malpractices in future. 3. A Show Cause Notice vide F. No 829/Jodhpur/Misc.I/2008/Pt-I/DCT/208 dated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the SCN. 4.2 The Applicant further submitted in his application that he has made full and true disclosure of the customs duty liability as per SCN without raising any disputes in true spirit of settlement. 4.3 The Applicant in his application prayed that the case may be admitted and settled as a whole once and for all, and he also prayed for grant of immunity from imposition of any fine, penalty prosecution on the Applicant Co-Applicants under the provisions of Customs Act 1962 and Rules made thereunder. 5. A notice dated 26th March, 2009 was issued to the Applicants. The applications were deemed to be admitted in terms of proviso to sub-section (1) of Section 127 C of the Customs Act, 1962. 6. The final hearing in this case ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ading and M/s. Dinesh Tobacco Industries. Hence the adjustment of Rs. 10 lacs deposited by the Applicant, M/s. D.C. Trading in account of M/s. Dinesh Tobacco cannot be done as both the firms are different entities. Beside determination of differential duty, though accepted by the Applicant has to be confirmed and settled by the commission. 8. The Bench has gone through the records of the case and the submissions made by the Applicant and the Revenue during the course of hearing. The Bench finds that though the Applicant in true spirit of settlement has discharged the entire differential duty liability alongwith interest and has not refuted the allegations of underinvoicing, but the initial investigations reveal a concerted manner of manip ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... irty Lakhs Only) to the main Applicant. Bench grants immunity from penalty to the other Co-applicants. Prosecution : Subject to the payment of penalty within 30 days, Bench grants immunity from prosecution to the Applicant and Co-applicants in so far this case is concerned. 9. The above immunities are granted under sub-section (1) of Section 127H of the Act. Attention of the applicant is also invited to the provisions of sub sections (2) and (3) of Section 127H ibid. 10. This order of settlement shall be void in terms of sub-section (8) of Section 127C of the Act, if the Settlement Commission subsequently finds that it has been obtained by fraud or misrepresentation of facts. 11. All concerned are informed accordingly. - - TaxTMI ..... X X X X Extracts X X X X X X X X Extracts X X X X
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