TMI Blog2016 (12) TMI 1270X X X X Extracts X X X X X X X X Extracts X X X X ..... g done by the principal and thus the condition as to manufacturer set out in Customs (import of goods at concessional rate of duty for manufacture of excisable goods) Rules, 1996 will include the premises of loan licensee. Even though the factory is of the loan licensee but use is on behalf the appellant therefore there is no violation of condition of the Customs Rules, 1996 - appeal allowed - decided in favor of appellant. - Appeal No. C/1630/05-Mum - A/94545/16/CB - Dated:- 14-12-2016 - Mr. Ramesh Nair, Member (Judicial) And Mr. C.J. Mathew, Member (Technical) Shri Mehul Jivani, C.A. for Appellant Shri Ahibaran, Addl. Commr. (A.R.) for Respondent ORDER Per Ramesh Nair The fact of the case is that the appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der rejected the appeal and upheld the Order-in-Original, therefore the appellant is before us. 2. Shri Mehul Jivani, Learned Chartered Accountant appearing on behalf of the appellant made the following submissions:- 2.1 He submit that the Commissioner (Appeals) denied the exemption on the ground that the appellant has obtained a certificate from the Superintendent of Central Excise having jurisdiction of factory of loan licensee i.e. M/s Savill Pharma Labs Pvt. Ltd. and the said factory is not owned by the appellant. He submits that this issue has been settled by the Tribunal s decision in the case of Tamil Trading Corporation Ltd. [2006 198 ELT 539 (Tri.-Chennai)], according to which as per Rule 3 of the Customs Rules, 1996 it is no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nal hearing was granted and demand is directly raised in the demand notice. He also submits that the demand is time barred. As the fact that the appellant intended to get the goods manufactured from job worker by using the imported goods was known to the department as all the details was provided for taking registration certificate, therefore there is no suppression of fact on the appellant s part. He further submits that the entire proceeding is lacking of jurisdiction as the demand has been raised by the jurisdictional Deputy Commissioner of Central Excise at Malad from where the registration certificate was obtained and not by the Deputy Commissioner (Andheri). 3. Shri Ahibaran, Learned Additional Commissioner (A.R.) reiterates the fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stipulates that the importer follows the procedure set out in the Customs (Import of Goods at Concessional Rate of Duty for Manufacture of Excisable Goods) Rules, 1996. Before the introduction of the above Rules in 1996, each Notification was having end-use condition and the importer was normally required to produce the end-use certificate. However, the above rules were framed as an improvement over the earlier procedure. The above Rules are applicable to an importer who intends to avail of the benefit of an exemption Notification and where the benefit of such exemption is dependent upon the use of imported goods covered by the Notification for the manufacture of any excisable commodity. As per Rule 3 a manufacturer intending to avail the b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s Circular dated 6-2-2002 enables a manufacturer to send duty free goods received to another manufacturer having registration for carrying of repairs/re-conditioning etc. In the above said Circular the Board has clarified that the goods received duty free can be removed to another eligible manufacturer under the Central Excise (Removal of Goods under the Concessional Rate of Duty for Manufacture of Excisable Goods) Rules, 2001. However, the recipient manufacturer would require Registration under Rule 3 of the said Rules. In our view, denial of Registration under Rule 3 of the Customs (Import of Goods at Concessional Rate of Duty for Manufacturer of Excisable Goods) Rules, 1996 to the importer on the ground that he does not have own a factor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Customs (Import of Goods at Concessional Rate of Duty for Manufacture of Excisable Goods) Rules, 1996. The ratio of the above decision is applicable to the present case also. The fact that Chennai Commissionerate has permitted Registration in respect of the importer who does not own the factory where the imported Crude Palm Oil is utilised is also supporting the appellants' case. Hence we allow the appeal with consequential relief, if any. 5. In the case of G.R. International (supra) the Tribunal held that following common law principal that what is done by duly constituted agent will be treated as having done by the principal and thus the condition as to manufacturer set out in Customs (import of goods at concessional rate of dut ..... X X X X Extracts X X X X X X X X Extracts X X X X
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