9911796707
TMI Blog2023 (8) TMI 939X X X X Extracts X X X X X X X X Extracts X X X X ..... of garnet, ilmenite, rutile and zircon. However, their LOP/Green card along with bonded warehouse license and in-bond manufacture sanction order were found to have not been extended after its expiry on 06.10.2014. They were hence issued a Show Cause Notice (SCN) dated 04.10.2019 demanding an amount of Rs.34,88,133/- being the duty forgone on capital goods, packing material and finished / semi-finished goods under the provisions of Central Excise Act, 1944. After due process of law, the learned Adjudicating Authority has vide Order in Original (OIO) No. 4/2020 dated 8.12.2020 confirmed the demand with interest and imposed penalty. Aggrieved by the said order, the appellant approached the Commissioner (Appeals) who after examining the matter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... MEPZ for debonding of capital goods. However, the D.C. issued an in-principle exit order on 17.12.2019 and extended it up to 16.12.2021. Meanwhile, the jurisdictional Assistant Commissioner of Central Excise, Tuticorin issued a SCN to them on 4.10.2019 and without waiting for their request to MEPZ first for extension of the green card / LOP and subsequently for exit from EOU to crystalize, has gone ahead and confirmed the duty of Rs.34,88,133/- along with interest and also imposed a penalty vide OIO dated 8.12.2020. They could not get full relief before the Commissioner (Appeals) who has confirmed the demand and interest and only dropped the penalty vide Order in Appeal dated 13.12.2021 (impugned order). He hence prayed that since the matte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pplication for the same has since been obtained and the in-principle exit order dated 17.12.2019 has been extended up to 16.12.2021. Hence duties need to be determined afresh. 8. I find that the issue of Show Cause Notice dated 04.10.2019 to the appellant appears premature and issued before the appellants request to the D.C. had been finalised. However, it is also noticed that the LOP/Green card was valid only up to 6.10.2014 and the department had issued the SCN after five years since its expiry giving sufficient time for the D,C.'s office in coming to a decision in the matter. I find that the Show Cause Notice does not contain any allegations of a blameworthy act by the appellant except his license was not renewed by the D.C. A person wh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... scheme. Hence, I feel that in the light of the development the matter needs to be remanded to the adjudicating authority to examine the facts and decide all the issues raised by the appellant regarding depreciation, destruction of obsolete goods etc. and arrive at the duty payable along with interest, afresh. 9. Having regard to the facts and circumstances discussed above, I set aside the impugned order and remand the matter back to the learned Adjudicating Authority to decide afresh the issues relating to the demand for duty and interest only, after considering any written request from the appellant and hearing him in the matter, based on the in-principle exit order given by the D.C. and further developments in the matter if any. The ap ..... X X X X Extracts X X X X X X X X Extracts X X X X
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