TMI Blog2011 (6) TMI 350X X X X Extracts X X X X X X X X Extracts X X X X ..... 0-6-2011 - Hon ble Mrs. Archana Wadhwa, Member (Judicial) Hon ble Dr. P. Babu, Member (Technical) Appellant : Shri R.S. Sangia, SDR Per: Mrs. Archana Wadhwa: Being aggrieved with the order passed by Commissioner (Appeals) Revenue has filed the present appeal. We have heard Shri R.S. Sangia, learned SDR appearing for the Revenue. Nobody appeared for the respondents. 2. As per facts on record respondent is a 100% EOU engaged in manufacture of twisted yarn and knotted grey fabrics falling under Chapter 54 of the Central Excise Tariff Act, 1985. 3. The Central Excise Officers visited the unit on 21.11.03 for preventive checks. The unit was found closed on the day of the officers visit. The watchman available on the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of duty @ 10% Adv. It was also agreed that duty was required to be paid equal to aggregate of all customs duties not @ 10% Adv. It was also revealed during the investigation that the unit had cleared/removed yarn waste totally weighing 11,000.00 kgs valued at Rs.77,000/- on payment of duty @ 16% Adv. This quantity of yarn waste was found be in excess of quantity permissible under Exim Policy. The department is of view that the central excise duty on such clearances should have been paid at the rate equivalent to aggregate of all customs duties under Section 3(1) of Central Excise Act, 1944. 4. Show cause notice dated 26.08.04 was issued to demand duty on the unit of Rs.22,48,569/-, Rs.22,48,569 penalty on unit, Rs.22,48,569/- penal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nted Unit - Clearances to DTA against foreign exchange - Exemption Notification No. 125/84-C.E. - Goods cleared from 100% EOU under Para 9.10(b) of EXIM Policy 1997-2002 in DTA against payment in foreign exchange eligible to exemption of Central Excise duty under Notification No. 125/84-C.E. - Proviso to Notification No. 125/84-C.E. denying such exemption to goods allowed to be sold in India not attracted as supplies against foreign exchange cannot be treated at par with clearances permitted by Development Commissioner for sale to DTA - Notification No. 125/84-C.E., dated 26-5-1984, EXIM Policy 1997-2002, Para 9.10(b). - The clearances to DFRC holders and also to suppliers against foreign exchange cannot be treated on par with the clearance ..... X X X X Extracts X X X X X X X X Extracts X X X X
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