TMI Blog2017 (1) TMI 341X X X X Extracts X X X X X X X X Extracts X X X X ..... l [2012 (10) TMI 652 - KARNATAKA HIGH COURT] wherein identically worded N/N. 67/98 Cus (NT) laying down that all India Industrial rates of drawback would not be available if finished goods are exported by 100% EOU, was held inapplicable inasmuch as the same run counter to section 75 of Customs Act, 1962 and the benefit given therein cannot be taken away by way of notification - appeal allowed - decided in favor of appellant. - Customs Appeal No. 50501, 50506 & 50507 of 2016 - 50003-50005/2017 - Dated:- 3-1-2017 - Ms. Archana Wadhwa, Member (Judicial) And Mr. Ashok K Arya, Member (Technical) Shri Sudhir Malhora and Shri Tarun Chawla, Advocates for the Appellants Shri S K Sheoram, DR for the Respondent ORDER Per Archana ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... notice dated 10.11.14 proposing to recover the said draw back amount already sanctioned to them and received by the appellant on the alleged ground that the appellant is a 100% EOU and as per notification No. 26/03-Cus(NT) dated 10.4.03, as amended, a 100% EOU is debarred from claiming the benefit of notification. Accordingly, the notice proposed to confirm the demand on the above ground resulting in passing of present impugned order. 6. After hearing both sides duly represented by Shri Sudhir Malhotra, learned advocate appearing for the appellant and Shri S K Sheoram, learned DR appearing for the Revenue, we find that in terms of section 75 of the Customs Act, 1962, the Central Government is empowered to allow draw back in accordance wi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... xport and Import Policy and the Foreign Trade Policy . 9. As is seen Revenue s total reliance is on the said notification which disallows draw back on all India industrial rate if the goods are manufactured or exported by a 100% EOU. There is otherwise no dispute that the appellants have manufactured the goods out of duty paid raw material and have not taken any credit of the said duty so paid by them and as such, were entitled to the draw back in terms of the draw back Rules read with section 75 of the Customs Act. The only issue which emerges is as to whether such notification debarring the draw back in contra distinction to the general Rules can be adopted for the purpose of denial of drawback. 10. Learned Advocate Shri Sudhir Ma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ar)] wherein identically worded notification No. 67/98 Cus (NT) laying down that all India Industrial rates of drawback would not be available if finished goods are exported by 100% EOU, was held inapplicable inasmuch as the same run counter to section 75 of Customs Act, 1962 and the benefit given therein cannot be taken away by way of notification. He submits that said decision was upheld by Hon ble Supreme Court reported as [2015 (323) ELT A-74 (SC)]. 12. After hearing the learned DR, we find that inasmuch as the issue stand decided by Hon ble Karnataka High Court, the appeal can be disposed of on the said ground itself without adverting to the other peripheral submissions, like interpretations of statute, or limitation and revenue n ..... X X X X Extracts X X X X X X X X Extracts X X X X
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