9911796707
TMI Blog2018 (8) TMI 433X X X X Extracts X X X X X X X X Extracts X X X X ..... ld that owner of any warehoused goods has right to relinquish the title of the goods at any time before an order for clearance of goods for home consumption has been made. There is no prohibition on the owner of the goods to exercise the right to relinquish the title of goods after the expiration of warehousing period or after expiration of the extended period. In this case, the SCN itself has been issued much later than the date of relinquishment of the title of goods by the appellants. No duty can be chargeable from the appellants - The case should go back to the adjudicating authority to quantify rent, interest, other charges and penalties, if any, payable by the appellant while holding that no duty shall be paid by the appellants. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for the manufacture of Antennas, however, in the aftermath of 11.09.2001, their orders to U.S. were affected seriously and they have lost the market; therefore, they could not use the imported goods for the manufacture of exported goods vide their letter dated May 12, 2004; they have requested the Chief Commissioner of Customs to extend the warehousing period for the imported goods. They followed up the letter with a series of letters but they did not get any reply from the Chief Commissioner s office. The Superintendent of Customs vide letter dated 01.12.2006 has informed them that Commissioner of Customs has rejected the request for extension and they are required to pay duty along with interest. The appellants vide letter dated 11.12.20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appellants and the same shall be construed as destroyed . They placed reliance on the decision of Symphony Services Corporation Ltd. Vs. CC, 2009 (245) ELT 661 (Tri- Bang.) which was reported by High Court Karnataka in their own case 2012 (275) ELT 369. The learned counsel also submitted that the taxable event in the case of warehoused goods is the date of removal of goods from the warehouse as per ratio of the Hon ble Supreme Court in LML Ltd. Vs. CCE, 2002 (142) ELT 273 (SC) in their case, the taxable event had not occurred as on the date of SCN and hence the adjudication order is against the settled law. The learned counsel also submitted that in the case of Agencies International- 2014 (307) ELT 781 (Tri. Bang.) on relinquishment of ti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... High Court of Karnataka in the case of PSI Data Systems (Supra) have held that invoking of the Proviso of Section 68. The assesse claimed exemption of duty payable by it on account of circumstances of this case provided relinquishment of the title of goods by the payment of rent, interest and other charges, including penalty when the amended Proviso is so clear in regard to the ground of exemption in respect of the duty payable by the assessee; the assessee has to fulfill the other requirements of the Proviso. In view of the Proviso of Section 62 of the Act, the assessee can claim the exemptions in respect of duty payable by it are relinquishment the title of goods in the warehouses. In the instant case, we find that the respondents have re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ater than the date of relinquishment of the title of goods by the appellants. In view of the above we hold that no duty can be chargeable from the appellants. In view of the above, we find that the case should go back to the adjudicating authority to quantify rent, interest, other charges and penalties, if any, payable by the appellant while holding that no duty shall be paid by the appellants. 8. In view of the above, the appeal is allowed by way of remand to the original authority with the direction to quantify rent, interest, other charges and penalties, if any, payable by the appellants while accepting the relinquishment of the title of the goods by the appellants. ( Order was pronounced in Open Court on 07/08/2018 ) - - TaxTM ..... X X X X Extracts X X X X X X X X Extracts X X X X
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