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TMI Blog1999 (9) TMI 100X X X X Extracts X X X X X X X X Extracts X X X X ..... ntered into an agreement with one M/s. Agricom Foods (P) Ltd., Mumbai allowing it to carry out the entire manufacturing with their own staff against a payment at the rate of Rs. 6/- per kg. of the total production. According to the department this was an infringement of the conditions on which the permission had been granted to the petitioner to import/procure the capital goods without payment of custom duty/excise duty. It, therefore, passed a restraint order on 7-7-1999 requiring the petitioner to show cause as to why the capital goods may not be confiscated under the provisions of Section 111(o) of the Customs Act, 1962 (for short 'the Act'). The petitioners were also directed not to remove, part with or otherwise deal with the aforesaid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stom duty/excise duty but it could not be restrained from dealing with its capital goods or carrying on the manufacturing activities. He further alleged that due to the restraint order an irreparable damage was likely to be caused to the petitioner as the goods manufactured by the petitioner being perishable, were likely to decay. This, according to the petitioner, would result in loss not only to it but also to the country which in the process would loss the precious foreign exchange. 3. In response to the notice issued, the department has filed written statement in which the charges contained in the restraint order have been reiterated. It has been pointed out that the petitioner has entered into agreements with M/s. Agricom Foods Priva ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... titioner that the only consequence of infringement of the conditions of the letter of permission was the liability to pay custom duty/excise duty. He drew our attention to the provisions of Section 111 of the Act which permitted the confiscation of the goods as well. Lastly, it was contended by the learned Counsel for the department that the investigation in the matter had reached an advanced stage and a final decision in the matter was likely to be taken shortly. 5. We have heard counsel for the parties and have perused the records. We are of the view that since the matter is being investigated and the department has yet to come to a final conclusion, it will not be appropriate for us at this stage to express any opinion on the merits of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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