9911796707
TMI Blog2012 (8) TMI 793X X X X Extracts X X X X X X X X Extracts X X X X ..... 2. The appeal is admitted on the aforesaid question of law and taken up for hearing by consent of the counsel on both the sides. 3. The assessee company has filed this appeal as a successor to and owner of M/s.Prakash Ispat Udyog. The assessee is engaged in the manufacture of angles, flat bars of Iron and Steel etc. On the basis of the prior exports effected, the assessee was granted advance licenses under which the assessee was entitled to import raw materials viz. prime steel billets without payment of duty under Notification No.51 of 2000 dated 27th April 2000 and Notification No.43 of 2002 dated 19th April 2002 (impugned notifications for short). Condition No.(vii) and (viii) of both the impugned notifications read thus : "(vii) tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lets to MSRM thereby violating the condition (vii) of the impugned notifications. The assessee denied to have transferred the billets to MSRM. However, by an orderinoriginal dated 24th November 2009 duty amounting to Rs.2.49 crores was confirmed with interest and after confiscating the billets in question, redemption fine and penalty was imposed. 7. Challenging the aforesaid order, the assessee filed an appeal and by the impugned order, the Tribunal directed the appellant to deposit Rs.1 crore for entertaining the appeal. Challenging the aforesaid order, the present appeal is filed by the appellant / assessee. 8. The entire case of the Revenue as also the basis on which the CESTAT has ordered predeposit is that in the case of a manufactur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of 2000 dated 27th April 2000 cannot take assistance of a supporting manufacturer jobworker is also prima facie without any merit, because, the DGFT has in the past admittedly granted advance licenses to MSRM as a manufacturer exporter with the assessee as a supporting manufacturer for duty free imports under notification No.51 of 2000 dated 27th April 2000. Therefore, when according to the licensing authorities a manufacturer exporter can get the raw materials converted through a jobworker / supporting manufacturer, it would not be open to the Revenue to contend that the manufacturer / exporter cannot take assistance of a supporting manufacturer. 11. Apart from the above, on perusal of the Hand Book of Procedure from 1993 onwards, it is s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ircumstances, the fact that the assessee manufacturer exporter who has already fulfilled the export obligation has got the conversion work done through a jobworker would not, prima facie, constitute transfer of the imported raw materials, because, firstly there is no bar for the manufacturer - exporter to get the imported raw materials converted through a jobworker and thereafter sell the converted goods and secondly, the assessee has sold the goods after its conversion and not before its conversion. 14. For all the aforesaid reasons, in our opinion, it is a fit case for entertaining the appeal without any predeposit. Accordingly, the order of the Tribunal directing predeposit of Rs.1 crore on the ground that there is no provision t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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