TMI Blog2006 (7) TMI 64X X X X Extracts X X X X X X X X Extracts X X X X ..... ; 2. The appellant unit imported capital goods under the EPCG scheme at concessional rate of duty in terms of Notification No. 110/95-Cus., dated 5-6-1995. As the appellant could not discharge the export obligation within the stipulated period of 5 years, Revenue proceeded against them. The DGFT also in his letter dated 6-9-2002 declared the appellants are defaulters in view of the non-fulfilment of export obligations. The Adjudicating Authority has held that the imported goods are liable for confiscation in terms of Section 111(o) of the Customs Act, 1962. Further, he has found the appellants liable for penalty under Section 112A of the Customs Act. It is further held that the importer is liable to pay differential duty in terms of the co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of misuse of imported goods and therefore, penalty can be imposed either on the company or on any of the officers of the company. (iii) Confiscation under Section 111(o) and penalty under Section 112 in respect of EPCG scheme for non-fulfilment of export obligation is not sustainable in view of the decided case laws rendered in the case of M/s. Philips India Ltd. v . CC, Mumbai - 2001 (137) E.L.T. 1267 and M/s. Fal Industries Ltd. v . CC, Chennai - 2003 (159) E.L.T. 215 (T) = 2002 (53) RLT 86. (iv) The learned Advocate brought to our notice that two shipments of export have been made by the appellant vide shipping bills No. 003690 dated 25-10-1999 and 000846 dated 8-2-2000 for a total FOB value of US $ 1,45,000/- which am ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e, the bank guarantee is for a sum of Rs. 2,62,784/- but the duty demand is to the tune of Rs. 4,98,147/-. Therefore, on this point we set aside the demand of Rs. 4,98,147/- and remand the matter to the Adjudicating Authority to recompute the duty liability in terms of the Notification. The appellants have brought to our notice that during the 4th and 5th, they had made certain exports and this should be taken into account while giving relief to them. This requests also deserves serious consideration in terms of Para 4 of the Notification No. 110/95. Therefore, the Adjudicating Authority could take this point also into consideration while computing the net duty liability on the appellant for non-fulfilment of export obligation. The interest ..... X X X X Extracts X X X X X X X X Extracts X X X X
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