9911796707
TMI Blog2004 (11) TMI 415X X X X Extracts X X X X X X X X Extracts X X X X ..... nt of duty mentioned above. He has also demanded interest under clause (ii) of Customs Notification Nos. 30/97 31/97, dated 1-4-97 and the party was permitted to adjust an amount of Rs. 8,69,634/- already paid by them towards the interest payable by them. The Commissioner has also confiscated the inputs as detailed in the SCN of even no. dated 28-11-2002 under Section 111(o) of the Customs Act, 1962. However, as the goods were not available for confiscation, he ordered that the appellant-assessee shall pay an amount of Rs.1.00 lakh towards fine in lieu of confiscation. He also imposed penalty equivalent to the duty amount of Rs. 29,85,674/- and the interest payable thereon as worked out at the time of payment under Section 114A of Customs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... from DGFT and cleared the consignments availing benefit of Notification No. 30/97 and Notification No. 31/97 both dated 1-4-1997. It was also found that the importers were misusing the benefits of the Notification by declaring abnormally higher consumption coefficients for the raw material imported, but utilizing only the actual consumption required for the manufacture of the resultant product. During the course of investigation, it was also noticed that they have made local clearances of 48 Kgs Loratadine and some local intermediate clearances. It was in these circumstances that show cause notice was issued to the appellants on 28-11-2002 which culminated in the order of adjudication passed by the Commissioner as noted above. 3. Heard ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mposed on the appellants in lieu of confiscation is vacated. As regards the penalty equivalent to the duty amount under Section 114A of Customs Act, 1962 is concerned, we find that there is a mala fide on the part of the appellant. Therefore, we find that the penalty equivalent to the duty amount imposed under Section 114A of Customs Act is required to be imposed. However in view of the facts and circumstances of the case we reduce the same from Rs. 29,85,674/- to Rs. 3,00,000/- (Rupees Three lakhs). As regards imposition of penalty of Rs. 5.00 lakhs on Shri T.C. Reddy, Managing Director is concerned, we find that there is no personal involvement of Shri T.C. Reddy, Managing Director and therefore we vacate the penalty of Rs. 5,00,000/- (R ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
