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TMI Blog(i) Hon’ble Supreme Court's judgment in the case of Commissioner of Customs, Mumbai vs. Virgo Steels [2002 (141) ELT 598 (SC)] &X X X X Extracts X X X X X X X X Extracts X X X X ..... o. 210/82-Cus, for supply to M/s Associated Cement Company Ltd. (ACC) for substantial expansion and modernisation of their factory. The project was however, subsequently abandoned by M/s ACC, yet M/s Virgo Steels imported the goods under the advance licence and sold the material in the market, contrary to the terms of the Advance Licence and the Notification. On adjudication, demand of duty was confirmed by the Commissioner under Section 28(2) of the Customs Act, 1962. No show-cause Notice was issued in this case as the same was waived by the party. However, before the Tribunal, Party raised a plea that issuance of a notice under Section 28 is a mandatory requirement and that if this requirement is not followed, the duty demand cannot be co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... recovery of escaped duty but it may make such proceedings initiated by that Officer voidable. In that view of the matter, in our opinion, the term "condition precedent" used in the case of Tin Plate Co. (supra) is referable to the procedural requirement of Section 28 and not to the jurisdictional aspect of the proper Officer to recover the escaped duty ………………" (ii) "……………… that even though a provision of law is mandatory in its operation if such provision is one which deals with the individual rights of person concerned and is for his benefit, the said person can always waive such a right. Bearing in mind the above decided principle in law, if we consider the mandatory requirement of issuance of notice under Section 28 of the Act, it will ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f Commissioner vs. Venus Castings (P) Ltd. [2000 (117) ELT 273 (SC)] and Commissioner vs. Raghuvar (India) Ltd. [2000 (118) ELT 311 (SC)], the Tribunal held that: (i) "……………… The Compounded Levy Scheme for collection of duty based annual capacity of production under Section 3 of the Central Excise Act and Hot Re-rolling Steel Mills Annual Capacity Determination Rules, 1997 is a separate scheme from the normal scheme for collection of Central Excise duty on goods manufactured in the country ……………… Thus, this is a comprehensive scheme and general provisions in the Central Excise Act Rules are excluded." (ii) "The importing of elements of one scheme of tax administration to a different scheme of tax administration would be wholly inappropr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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