TMI Blog2007 (5) TMI 59X X X X Extracts X X X X X X X X Extracts X X X X ..... me of the Exporter H.O of Exporter FOB Value (in Rs.) PMV (in Rs.) Purchase Bill No. Suppliers Name with rate Name of the Transporter 127/ 18-7-2003 Om Trading Co. New Delhi 37,24,000/- 28,80,000/- 15/ 8-7-2003 A.V.G. Enterprises New Delhi Rs. 720/- pair Mahavir Transport Co. Gwalior 128/ 18-7-2003 Madhu Traders Gwalior New Delhi 37,24,000/- 29,20,000/- 18/ 6-7-2003 G.V. Overseas Traders New Delhi Rs.730/-Pair Mahavir Transport Co. Gwalior 129/ 18-7-2003 NaJh Enterprise New Delhi 35,37,800/- 27,60,000/- 13/ 18-6-2003 Sunderlal Sons New Delhi Rs. 690/- Pair Pandit Transport Co. Gwalior 130/ 18-7-2003 Sai Trading Co. Gwalior New Delhi 35,37,800/- 28,00,000/- 18/ 15-7-2003 G.V. Overseas Traders New Delhi , Rs. 700/- Pair Pandit Transport Co. Gwalior The officers d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the DEPB benefit. While the Revenue is in appeal against the dropping of charges in respect of automobile parts and non-imposition of penalties on the individuals by the adjudicating authority. 3. The Ld. Advocate appearing on behalf of the appellants submits that present market value as ascertained, of the goods, i.e. PVC sports shoes is incorrect and the same was a wholesale price hence less than the declared one. It is his submission that the market value as ascertained by the Revenue is totally against the norms and it was from the traders which in itself is in correct and the said traders were amateurs in the business. It is his submission that the present market value as declared by the appellants in the shipping bill matches with the FOB and does not require any reduction. As regards the confiscation, it is his submission that the value which was declared by the appellant being correct there is no question of any confiscation due to mis-declaration of value and consequent penalties imposed on the appellant are unwarranted. 4. The Ld. SDR, first answering the appeals of the appellant submits that the documents which was shown by the appellants as regards the purchas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... authority while arriving at the conclusion of the present market of the samples of the shoes which were drawn from the containers has observed as under "Samples of each varieties of shoes were drawn and enquiries were conducted for ascertaining the present market value of the goods. I am of the view that here the market enquiry was conducted with the manufacturer of PVC shoes, who cannot be considered as amateurs in the field. They have long standing experience of about 10 years in the field. Further the prices ascertained were wholesale prices and not the cost price as alleged by the exporters. In view of this, the Noticee's contention that the PMV ascertained was unfair, unrealistic and contrary to commercial dealings inasmuch as it fails to take in the account expenses incurred on various counts so as to make the goods marketable is incorrect. Therefore, Noticee's recall of case law Brooks International v. ICD Tuglakabad does not come to their aid, Market enquiries conducted as per CBEC's Circular were proper and have proved that the charges levelled against all the exporters in respect of over invoicing of PVC Sports Shoes are correct. In the export documents, the supplie ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d that actually exported. This is clear that from the following. Shri Ramesh' Gulati has deposed in his statement that he had purchased the said parts through the broker Shri Surjeet Singh. This fact has allegedly been corroborated with the statement of Shri Parminder Sabarwal of M/s. Superior Overseas. Shri Parminder Sabarwal had sold some auto parts to one Shri Vijay Gulati. However, there is no evidence on record to establish that Shri Vijay Gulati had sold the goods to the exporters or Ramesh Gulati or any body else to establish that these were the same goods which were exported vide impugned shipping bills". It is the submission of the Ld. Advocate appearing on behalf of the respondents that once the goods have been exported resultant foreign exchange having been realized, the question of re-opening the assessment and deciding the over valuation in these cases does not arise. We find from the records that the appellants Om Trading Co., Madhu Traders, Sai Trading Co., and Nath Enterprises were floated by Shri Ramesh Gulati, who master minded the entire activity of over valuation of consignments for expert in order to avail the benefit of DEPB Scheme. The Ld. Adjudicating auth ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to mention here that the DEEC and DEPB scheme are scheme floated by the Government of India to encourage the exports in order to earn foreign exchange. The appellants/respondents in the case before us has totally mis-utilized the said scheme to enrich themselves and defrauded the government, as is clearly brought out in the activities of their exports of PVC Sports Shoes. We find that the case of Annapurna Yarn Fabrics (Supra) was taken up by the assessee to the Supreme Court and Hon 'ble Supreme Court has dismissed the appeal [reported at 2003 (152) E.L.T. A256]. The ratio of the Annapurna Yarn Fabrics having been upheld by the Hon 'ble Supreme Court, we are of the view that, the Ld. Adjudicating authority, was in error, while dropping the charges of over valuation in respect of automobile parts. The appellants/respondents herein were continuing their activity of over valuation of the goods for export, is in itself a good and valid reason to open the case of overvaluation of the automobile parts already exported. It is also on record that the supplier of automobile parts, have denied, having supplied automobile parts to the appellants for export. It is also on record that the s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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