9911796707
TMI Blog2003 (3) TMI 383X X X X Extracts X X X X X X X X Extracts X X X X ..... with Section 11A(2) of the Central Excise Act, 1944 and a penalty imposed under Rule 209A of the Central Excise Rules, 1944. Appellant No. 2 is Director of appellant No. 1 on whom penalty under Rule 209A has been imposed, in the same common order passed by Commissioner of Central Excise, Surat. M/s. Honest Agency, appellant No. 3, is the purchaser of goods from appellant No. 1 on whom a penalty has been imposed under Rule 209A. 2. After hearing the stay applications it transpires that final orders could be passed in these appeals and the matter disposed off, since the issue lies in a very small compass. After waiving pre-deposit and with the consent of both sides this order is being passed. 3. We find : - (a) The scope of levy of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... been permitted to sell the goods in India. But then permission to sell in India has to be in terms or in accordance with the provisions of the export-import policy. Permission to sell in India by 100% EOU consists of all those factors like value addition, fulfilment of export obligation, sale of a general currency licence holder, item being not mentioned in the negative list and then there being a limit of 25%, etc. When permission to debond is given, none of these criteria or aspects are applied by Board of Approvals (BOA) to the closing stock of finished goods. Board of Approvals is a statutory authority, which permits debonding. It is created under the Industrial (Development and Regulation) Act. [On the other hand, permission to sell t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ras 9.9 and 9.2 of EXIM Policy were allowed to be sold in India (DTA) on payment of duty of excise and and not the goods released in accordance with para 9.10 of EXIM Policy. (Emphasis supplied) In this view of that fact, it is the case of the revenue itself, also that goods cleared in accordance with Para 9.10 of EXIM Policy are not goods allowed to be sold in India (DTA) on payment of duty. (d) We find that Notification No. 125/84 also uses the same term viz., allowed to be sold in India and the same understanding and meaning of this term is required to be interpreted as laid down by the Apex Court and Union of India in the SIV Industries case (supra). (e) The argument of the ld. Consultant for the appellants that the d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... xcise duty under main Section 3 of rules, which are not covered by the term allowed to be sold . The applicability of this Circular and determination of duty of Central Excise, as per Notification No. 125/84-CX is also required to be redetermined and for that purpose this order is required to be set aside and remitted back to the original authority for such re-determination. (g) Only after duty demands, if any, are re-determined, the question of penalties and their quantification will arise. Consequently, the appeals as regards the penalties imposed are also required to be allowed as remand. 4. In view of our findings the order is set aside and the matters are remitted back to the Commissioner to determine the levy, if any, of duty ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
