2007 (10) TMI 514

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..... dent. [Order per : M. Veeraiyan, Member (T)]. This is Department s appeal against the order of the Commissioner No. 26/MP/2002 dt. 13-9-2002. 2. Heard the ld. JDR for the Department. None appeared for the respondent. 3. The relevant facts, in brief, are as follows :- (a) The respondent, a 100% EOU, imported duty free raw materials and also procured duty free indigenous materials fo .....

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..... 39,591/- on the finished products and imposed a penalty of Rs. 19,39,600/-. He, however, held that demand of duty on raw materials used in the manufacture of the goods which were treated as waste/rejects over and above, duty demanded on the final products was not sustainable as it was not a case of removal of duty free inputs as such. (e) The Department has come up in appeal against the non-de .....

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..... tic market as per the permission granted by the Development Commissioner. Under these circumstances, no case of diversion or use of the raw materials procured duty free for a purpose other than intended purpose, has been made out. Therefore, no valid grounds have been adduced to interfere with the findings of the Commissioner in so far as non-demand of duty on the raw materials and not taking the .....

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