9911796707
TMI Blog2002 (10) TMI 645X X X X Extracts X X X X X X X X Extracts X X X X ..... valid up to 30-4-1998. However, the consignments were cleared on manipulated documents whereby the Bill of Lading was ante-dated so as to take the benefit of an otherwise expired Advance Licence. 3. Show Cause Notice dated 15-1-2001 was issued by DRI to the applicant demanding duty of Rs. 27,84,814/-. 4. The applicant filed an application on 28-5-2001 before the Additional Bench of Settlement Commission, Mumbai for settlement of the case. In his application, he disclosed and admitted a duty liability of Rs. 27,84,814/-. 5. The hearing for admission of the case was held on 12-7-2001. During the hearing, the ld. Advocate of the applicant submitted that DRI, while investigating the case, obtained a deposit of Rs. 1,32,16,613/- between 5th February and 8th February, 1999 from the seller M/s. Adani Exports Ltd. He further submitted that the applicant was agreeable to admit the entire duty amount of Rs. 27,84,814/- for the purchase of 10,000 MT "Steam Coal" on high-seas sale basis from M/s. Adani Exports Ltd. He sought for adjustment of the admitted duty liability of Rs. 27,84,814/- out of the deposited sum of Rs. 1,32,16,613/- made by M/s. Adani Exports Ltd. The Repres ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Commissioner of Customs, Kandla. The Hon'ble Court further ordered that the Commission shall dispose the application expeditiously in accordance with law. 10. The applicant filed Misc. Application dated 24-4-2002 praying that the Hon'ble Commission be pleased to fix an early date for final hearing of the above application along with connected applications in accordance with the order dated 22-1-2002 of the Hon'ble Bombay High Court. 11. The next hearing was held on 14-8-2002. During the hearing, the learned Advocate submitted that his application may be clubbed for hearing with that of M/s. Adani Exports Ltd. M/s. Adani Exports Ltd. had placed the order for import of 58008 MTs. Out of this quantity, 20,000 MTs was sold to the applicant. The applicant filed 4 Bills of Entry for taking clearance of the imported cargo. Out of the quantity of 20,000 MTs, 10,000 MTs were cleared on payment of duty and the remaining 10,000 MTs were sought to be cleared against Advance Licence, which was originally issued to M/s. Vishakhapatnam Steel Plant and thereafter duly transferred in favour of M/s. Adani Exports Ltd. The allegation was that the import documents were so ante-dated as to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ome more time was sought by the ld. Advocate to consult his client and amend his application accordingly. 15. The Commission granted the same and the next date of hearing was fixed on 28-8-2002 at 12.30 P.M. The applicant was also directed to produce copy of the affidavit filed by 5th respondent in the Hon'ble High Court, as referred to in the order cited elsewhere. 16. The date of hearing was later re-fixed to 11-9-2002 by the Commission. 17. The Advocate of the applicant, vide letter dated 27-8-2002, requested the Commission to adjourn the hearing fixed on 11-9-2002 to some other date as he would be before the Hon'ble Chennai High Court in a part heard matter on that date. The Commission re-fixed the date of hearing to 18-9-2002. 18. The final hearing was held on 18-9-2002. 19. The applicant M/s. Saurashtra Cement Ltd., was represented by Shri A.K. Chatterjee, Advocate. 20. The ld. Advocate at the outset submitted a copy of the affidavit filed by the 5th respondent in the Hon'ble High Court as was directed by the Commission during the hearing held on 28-8-2002. 21. He further submitted that the applicant had entered into an understanding ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... duty was paid in February, 1999. It was further submitted that the applicant before the Commission is the principal who cannot escape payment of duty and other related consequences for the mistake of his agent and as such, the applicant may not be granted immunity as requested by him. 24. The Commission directed the Revenue to send a copy of the PD Bond and the copy of the challan wherein the duty was paid by M/s. Adani Exports Ltd. The Revenue vide its letter F.No.DRI/AZU/INT-4/99, dated 19th September, 2002 produced the same and it is taken on record. 25. The Commission has gone through the case records and the submissions made by the applicant and the Revenue. 26. By its Interim Order No. 42/2002-Cus., dated 19-8-2002, this Commission, inter alia, observed as under :- "The Commission pointed out to him that the Bill of Entry filed by him shows the name of the importer as M/s. Saurashtra Cement Ltd. and clearance was sought under DEEC Licence. Also in Annexure-l of his application the applicant has mentioned that two consignments were cleared on payment of Customs duty and the other two consignments were sought to be cleared against Advance Licence. Now the ar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... alia, it is mentioned by the applicant that "The other two consignments were sought to be cleared against Advance Licence No. P/L/3498876, dated 15-4-1994, which was originally issued to M/s. Vishakhapatnam Steel Plant (VSP) and thereafter duly transferred in favour of the Applicants. The said licence was transferred by M/s. AEL to the Applicants." 31. Even during the final hearing held on 18-9-2002, the above contradiction has not been set right. In other words, the Commission is of the view that the applicant, M/s. Saurashtra Cement Ltd. were fully aware of the duty being evaded in the instant case. 32. The Commission keeps the above in mind while it passes the terms of settlement under sub-section (7) of Section 127C of Customs Act, 1962 which is as under :- Duty of Customs :- The case is settled for an amount of Rs. 27,84,814/-(Rupees twenty-seven lakhs eighty-four thousand eight hundred fourteen only). This duty amount was ordered to be adjusted by the Hon'ble High Court from the duty-paid by M/s. Adani Exports Ltd. Interest :- Considering the facts and circumstances of the case, Commission grants immunity from levy of interest under Section 127H of Customs Act, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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