9911796707
TMI Blog1995 (10) TMI 251X X X X Extracts X X X X X X X X Extracts X X X X ..... the proceeds of exports covered by 16 GRIs out of 38 mentioned in the SCN on which the adjudication proceedings were initiated. The appellant has been exonerated of the charge in respect of 22 GRIs for which the RBI had given permission to write off the full invoice value. A penalty of Rs. 5 lakhs has been imposed on the second appellant for the same contravention by invoking the provisions of section 68(1) of the Act, The appellants have complied with this Board's order of 25-4-1995 under which their waiver applications were disposed of. This common order disposes of both the appeals on merits. 2. At the outset Shri Habbu, the learned counsel for the appellants, indicated the uptodate factual position in respect of the outstanding pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he amount is not material as the appellants under their said letter dated 27-9-1994 applied to the RBI for write off of the balance amount as the exports were made in 1987 and there was no possibility of realisation of the balance amount after ten years as the balance amount was not paid due to dispute about the quality difference of which an analysis certificate was also sent by the foreign buyer. 4. In respect of GRIs at Sl. Nos. 1 and 2, Shri Habbu reiterated the position as stated in the appellants' reply dated 8-10-1983 to the SCN. He stated that these exports were made in April 1991. The outstanding amount is held back by the foreign buyer for adjustment of a claim of Rs. 11,89,776.80 against the appellant in respect of supply of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the context of the total exports of about Rs. 740 crores as made by the appellants, the outstanding amount should not be taken into account as even no businessman can be assured of 100 per cent realisation. 5. We have carefully considered the submissions made by Shri Habbu. Since the learned Adjudicating Officer has exonerated the appellants of the charge in respect of 22 GRIs due to write off permission given by RBI, the appellants will have to be exonerated for the same reason, in respect of six more GRIs (Sl. Nos. 3 and 12-16) in respect of which RBI has granted further permission to write off. The appellants also deserve to be exonerated in respect of GRIs at Sl. Nos. 8, 9 and 11 the outstanding amount of which has since been realise ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ern action. However, there is no evidence that short of legal action, the appellants have impressed on the foreign buyer about his liability to pay the outstanding amount and that his counter-claim should be directed against the insurance company. In our opinion there is no adequate evidence to completely exonerate the appellants for non-realisation of the outstanding amounts against GRIs at Sl. Nos. 1 and 2. The reason for non-realisation of outstanding amount in respect of GRI at Sl. No. 17 is not explained by Shri Habbu. He merely submitted that this is a small amount compared to the export performance of the appellants. However, it has to be appreciated that the entire export performance of about Rs. 744 crores consists of individual sh ..... X X X X Extracts X X X X X X X X Extracts X X X X
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