2014 (9) TMI 64 - AT - Customs

Waiver of pre deposit - Exemption of duty under Notification No.21/02-Cus., dated 01.03.2002 - applicant imported Premier Flex 3000, Polyester Reinforced Black Finish, Polyester Reinforced Natural Granule Finish on High Sea Sales basis and claimed exemption of duty under Notification No.21/02-Cus., dated 01.03.2002 - registration of the project import is done by NPCI - violation of the condition of the notification - Held that - under Regulation of the project, the asessee is required to register the project with the Customs authority before importation. In this case, the registration of the project import is done by NPCI and therefore, there is violation of the condition of the notification. They are required to comply with the condition of the Notification. We find that the Tribunal, in the applicant s own case vide Stay Order No.537/06, dated 04.05.2006 granted unconditional stay following the earlier stay order of the Tribunal in the case of Hindustan Construction Company Ltd. Vs Commissioner of Customs, Trichy reported in 2005 (12) TMI 551 - CESTAT CHENNAI . On a query from the Bench, the learned Counsel for the applicant drew the attention of the Bench to the letter dated 17.05.2003 of M/s. NPCIL, wherein it is mentioned M/s. Simplex Concrete Piles (India) Ltd. subsequently changed to M/s. Simplex Infrastructure Ltd., applicant herein. Prima facie , on perusal of the certificate under Customs Notification No.21/2002, dated 01.03.2002 issued to M/s. NPCIL, a Govt. of India Enterprise, we find that it is a fit case for waiver of pre-deposit of duty along with interest. - Stay granted.

Summary

Issues: Import of goods for a Nuclear Power project under exemption notification. Compliance with registration requirement for project import. Grant of waiver of pre-deposit of duty and interest.

In the judgment by the Appellate Tribunal CESTAT CHENNAI, the applicant imported rolls of Premier Flex 3000 on "High Sea Sales" basis and sought duty exemption under Notification No.21/02-Cus., claiming the goods were for a Nuclear Power project listed in the notification. The Tribunal noted the requirement for project registration with Customs authorities before importation. The respondent argued non-compliance with this condition due to project registration by NPCI. However, referencing previous stay orders, the Tribunal found the case fit for waiver of pre-deposit of duty and interest until appeal disposal, allowing the stay application and directing the registry to link the appeal with another case.

The judgment highlighted the importance of complying with the registration requirement for project imports under the notification. The Tribunal considered the applicant's case in light of previous stay orders and the change in applicant's name, ultimately granting a waiver of pre-deposit of duty and interest until the appeal's final disposal. The decision was based on the perusal of the certificate issued to the applicant under the Customs Notification, recognizing it as a Government of India Enterprise involved in a Nuclear Power project, justifying the waiver.

The Tribunal's analysis emphasized the significance of meeting the conditions specified in the exemption notification for duty waiver. By considering the applicant's case history, including previous stay orders and project registration details, the Tribunal assessed the eligibility for the waiver of pre-deposit of duty and interest. The decision to grant the waiver until the appeal's conclusion was based on the applicant's association with a Nuclear Power project and the certification provided under the Customs Notification, ensuring compliance with the exemption requirements.

Overall, the judgment by the Appellate Tribunal CESTAT CHENNAI addressed the issues of import for a Nuclear Power project under an exemption notification, the necessity of complying with project registration requirements, and the grant of a waiver of pre-deposit of duty and interest based on the applicant's case specifics and previous stay orders. The decision reflected a careful consideration of the applicant's circumstances and the conditions outlined in the Customs Notification, leading to the allowance of the stay application and the waiver until the appeal's final resolution.