9911796707
TMI Blog2016 (1) TMI 1048X X X X Extracts X X X X X X X X Extracts X X X X ..... he appellant. 2. The fact of the case is that the appellant M/s. Artek Organic Industries Ltd. was issued a EPCG License No. 03500235 dated 6/9/1996 by DGFT under exim Policy 1992-97 for import of capital goods valuing Rs. 2,49,62,610/- at concessional rate of duty against prescribed export obligation of Rs. 9,98,50,440/- within stipulated period of five years. But during this period of five years appellant though imported the capital goods worth Rs. 2,57,51,728/- but failed to fulfill the condition laid down. Hence the appellant were issued demand notice dated 12/1/1999 for a demand of Rs. 5,84,564/- + interest and another notice for demand of Rs. 58,45,643/- + interest @ 24% on 6/1/2003 for the amount of duty saved. Again reminder letter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to fulfill the export obligations. On going through the appeal memo, we find that the appellant made ground on technical issues as below:- (a) Hearing fixed on 16/6/2006, 29/6/2006 and 10/8/2006; they have not received hearing intimation of 10/8/2006. (b) The Customs Authority ought to have issued notice with the word forwarded on behalf of the President of India and in absence of the same the whole proceedings is null and void. (c) In the Bill of Entry exemption was claimed under Notification No. 115/95 however notice indicated clearance of the goods under Exemption Notification 28/97 which is wrong. (d) The interest was demanded @ 24% whereas the show cause notice indicates the interest @ 15%. (e) Appeal is pending before the Addl. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d that though the show cause notice indicates interest at the rate of 15%, demand of interest has been confirmed at the rate of 24%. We are of the view that interest has to be paid in accordance with the Section 28AA or 28AB of the Customs Act read with notification applicable on the relevant time. On going through the rate of interest at the relevant time, we find that in terms of Section 28AA or 28AB read with notification, the rate of interest on custom duty was varying from time to time. Therefore applied rate of 24% is not correct. (v) As regard the contention of the appellant that their appeal for extension of period for export obligation is pending before the DGFT. Firstly the said proceeding has no bearings in the present case. Sec ..... X X X X Extracts X X X X X X X X Extracts X X X X
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