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TMI Blog2021 (9) TMI 1106X X X X Extracts X X X X X X X X Extracts X X X X ..... iability stood discharged. Unfortunately the assessee who has been registered under the provisions of the Central Excise Act has failed to take note of rudimentary legal principles. If the assessee claims that he has discharged the duty liability, the same should be established in the manner known to law by producing the necessary challan or an order to the said effect passed by the competent Assessing Officer. The Tribunal rightly held that the letter dated 18.05.2006 by the Assistant Commissioner to the Development Commissioner, MEPZ is not an order. The Tribunal was right in stating that the intention of the assessee was not as that of an honest tax payer as they failed to come forward to disclose that they have not paid the duty amo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was dismissed. 2.The facts leading to the filing of the appeal before the Tribunal is as hereunder: The assessee is a Private Limited Company engaged in the manufacture of cotton yarn falling under Chapter 52 of the First Schedule to the Central Excise Tariff Act, 1985. The assessee was initially a Domestic Tariff Area Unit [DTA Unit] till 1999. Thereafter, it had obtained a license as a 100% Export Oriented Unit [EOU] for the manufacture and export of cotton yarn during the period from 27.08.1999 to 26.08.2004 and from 27.08.2004 to 29.05.2006. The assessee had imported capital goods and also procured indigenously manufactured goods without payment of central excise duty as per the notification for the use and in the manufacture ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er Customs Notification 97/2004. Further, the assessee placed heavy reliance on the letter dated 18.05.2006 written by the Assistant Commissioner of Central Excise, Dindigul I Division to the Development Commissioner stating that no customs and central excise duties are pending from the assessee Unit. Based upon the said letter, the Development Commissioner by letter dated 29.05.2006 granted final exit from 100% EOU status in DTA. While so, the respondent issued show cause notice dated 30.04.2007 stating that the assessee has not paid applicable central excise duties on the depreciated value of the indigenously procured capital goods and demanded a sum of ₹ 1,30,50,370/- together with interest. By reply dated 08.06.2007 the assessee d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ant/assessee. The matter has been on the Board of the Court for final hearing from January 2020 and the order sheet reveals at every stage the Board of this Court, where one of us [TSSJ] was a member from the year 2018 and repeatedly adjournment was sought for and very recently also on four occasions, adjournment was sought for and those requests were accommodated, yet today [16.09.2021], when the matter is taken up, none appears for the appellant. 5.The sheet anchor of the case of the appellant is based upon the letter written by the Assistant Commissioner, Central Excise, Dindigul I, dated 18.05.2006 to the Development Commissioner, wherein it has been stated that the assessee has paid all the customs and central excise duty and noth ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fortunately the assessee who has been registered under the provisions of the Central Excise Act has failed to take note of rudimentary legal principles. If the assessee claims that he has discharged the duty liability, the same should be established in the manner known to law by producing the necessary challan or an order to the said effect passed by the competent Assessing Officer. The Tribunal rightly held that the letter dated 18.05.2006 by the Assistant Commissioner to the Development Commissioner, MEPZ is not an order. Furthermore, the Tribunal rightly took note of the legal position that the assessment order is not required to be appealed against for raising a demand of short levy or non-levy and this power is exercisable in terms of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... om the EOU Scheme to operate under EPCG Scheme. A copy of the letter received from the Development Commissioner is enclosed herein for your reference. As stipulated in the letter, we are agreeable to pay Customs Central Excise Duty for the Capital Goods [on the Amortized Value], Raw materials, Consumables and Finished goods in stock at the applicable rate of Duty both for the Imported and Indigenous goods. After assessing the Duty amount to be paid for the plant machinery and other materials in stock, we will submit a separate letter shortly for doing the needful. 7.A reading of the above letter will clearly show that the assessee in no uncertain terms agreed to pay Customs Central Excise Duty for the Capital Good ..... X X X X Extracts X X X X X X X X Extracts X X X X
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