9911796707
TMI Blog2023 (6) TMI 1062X X X X Extracts X X X X X X X X Extracts X X X X ..... that the appellant M/s. Sun Pharmaceuticals Industries Ltd. a 100% EOU located at Plot No. 24/2, GIDC Industrial Estate, GIDC, Panoli is engaged in the manufacture of bulk drugs falling under chapter no. 29 of Central Excise Tariff Act, 1985. The appellant are holding ware housing license under Section 58 and Section 65 of the Customs Act, 1962. The appellant are registered as 100% Export Oriented Unit with the Development Commissioner KFTZ Gandhidham. The unit procures imported raw materials as well as indigenous raw material under 100% EOU Scheme without payment of Customs, Central Excise duty for manufacture of finished goods and for exporting the same as per the export-import policy. 02. It has been submitted by the appellant that they ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he domestic market at the end of job worker. The range officer visited the premises of declared job worker namely M/s. Heartwell Life Science located at Plot No. A/1, 7304, GIDC Estate, Ankleshwar and to his surprise even though there was no unit in the name of M/s. Heartwell Life Sciences in the existence at the given address for which job work permission has been granted by the Deputy Commissioner regarding non-existence of job worker M/s. Heartwell Life Sciences at the declared address. The Range Superintendent accordingly informed the Deputy Commissioner. After necessary investigations a show cause notice dated 02.08.2010 came to be issued whereunder, it has been alleged that the appellant M/s. Sun Pharmaceuticals Industries Ltd. has vi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he same were released with requisite security, therefore in lieu of confiscation I impose the redemption fine equivalent to total duty amount of Rs.4,08,027/- (Rupees Four Lakh Eight Thousand Twenty Seven Only) under Section 111 (J) & (0) of the Customs Act, 1962 and Rule 25 of Central Excise Rules 2002 respectively on the noticee, and 29.3 I Impose the penalty of Rs.2,29,234/- (Rupees Two Lakh Twenty Nine Thousand Two Hundred Thirty Four Only) on the noticee under Section 112 (a) & (b) (ii) Section 114A of Customs Act, 1962 of the Custom Act, 1962 (for violating the conditions of Notification No.52/2003-Cus dated 31.03.2003 being the offence as described under Section 112 of the Act Ibid), and 29.4 I Impose the penalty of Rs.1,78,793 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... penalty of Rs. 75,000/- on Shri G.B. Patel, Factory Head of the noticee under Section 112 112 (a) (b) (II) read with Section 117 of Customs Act 1962 & under Rule 26 of Central Excise Rules 2002, and 30. This order is Issued without prejudice to any other action that may be taken against M/s. Sun Pharmaceuticals Industries Ltd., (100%EOU) Plot No.24/2 GIDC Panoll, Taluka Ankleshwar, Dist. Bharuch and against M/s. Heartwell Life Science, M- 11, Empire Estate Building, Ring Road Surat, under Customs Act 1962, Central Excise Act, 1944 and the Rules framed their under or any other law for time being force. 2.2 The appellants have challenged the Order-in-Original before the learned Commissioner (Appeals) who vide his order dated 19.08.2013 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . ADINATH TEXTILES LTD. reported under 2019 (366) ELT 1053 (Tri.-Chandigarh). 04. We have also heard the learned Departmental representative who has reiterates the findings of the impugned orders. 4.1 We have heard both the sides. We are of the view that with an objective to encourage exports, the Government of India has imposed lot of faith and has allowed import and acquisition of the raw materials duty free for use of the same in the manufacture of export products. The relevant notification No. 52/2003-Cus dated 31st March 2003 allowed import and acquisition of raw material without payment of any duty subject to certain undertakings and paper formalities. In this case, we find that the appellant has violate the faith imposed in them in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under various sections of Customs and Central Excise Acts. From the findings given in the impugned order, no discussion has been made as to the effect whether the duty free imported raw materials which were supplied to the job worker who did not exist at the given address, were received back after the processing or not. We are of the view that duty, redemption fine an d penal action can be confirmed only if it is established that duty paid on raw material which was sent to the job workers have not been received by the 100% EOU of the appellant. 5. Since the impugned orders are silent on this aspect, we feel that matter need to be re-adjudicated keeping in mind above observations and accordingly, we allow the appeals by way of remand to th ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
