9911796707
TMI Blog2017 (3) TMI 1003X X X X Extracts X X X X X X X X Extracts X X X X ..... also ordered. Aggrieved by the impugned order, the present appeal has been filed. 2. The facts in brief: The appellants are manufacturer of Carbon paper & Stencil Paper falling under tariff heading 4816 and 4809 and is situated in Dehradun, Uttarakhand. On January 2004, the appellant informed the department that they have undertaken substantial expansion in their unit and are eligible for exemption under Notification 50/2003-CE dated 10.06.2003 for their product under tariff heading 4816 i.e. Carbon paper. Further, they also informed the department that they have stopped production of carbon paper falling under tariff sub heading 4809.10 having width exceeding 36 cms and intent to avail the exemption under the above mentioned notificatio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... able on inputs or capital goods. However, he dropped the penalty on the appellant as well as its directors. 3. With the above background, we heard Ms. Surabhi Sinha, ld. Advocate for the appellant as well as Shri H.C. Saini, ld. DR for the respondent. 4. The following grounds are urged by the ld. Advocate on behalf of the appellant: a. That for the earlier period on the issue of substantial expansion and manufacturing carbon paper having width more than 36 ems which is later cut into smaller size, the issue is settled by the Hon'ble Tribunal in the party's own case reported in 2016 (337) ELT 393 - Maj Gen Gurdev Singh, Director Vs. C.C.E., Meerut -I. b. That in the present appeal the benefit has been denied to appellant solely on the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e appellant wish to submit that the amendment in the notification is prospective in nature and does not apply to the units which have already undertaken substantial expansion before 19.05.2005. The plain reading of the notification will show that this restriction is for new industries being set up in the Mohbewala Industrial region. The said notification has no where rescinded the benefit to the existing units in that region. f. That the appellant was made a promise by the government and acting on that promise the appellant altered their position (wherein they undertook expansion); under the principle of "Promissory Estoppel" the department is obligated to perform in accordance with the promise already made. The only reason to rescind suc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... with the legal argument of "promissory estoppels". 7. The area based exemption benefit is extended to units situated in designated backward areas listed out in the relevant notification but the area in which the appellants unit is situated has been deleted from the relevant notification, the appellant will ceaze to enjoy the benefit of the notification from the date of such amendment. Ld. Commissioner (Appeals) in the impugned order has also fairly allowed the benefit of cenvat credit available on inputs and capital goods before arriving at the final demand. The appellant has challenged the duty demand under the doctrine of promissory estoppel. It is now a settled law that doctrine of promissory estoppel is a rule of equity and for the en ..... X X X X Extracts X X X X X X X X Extracts X X X X
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