1998 (8) TMI 603 - AT - Central Excise

Successful appeal due to time-barred show cause notice; excisable value disclosure, cash scheme participation key.

The appeal was allowed, and the impugned order was set aside. The appellant successfully argued that the show cause notice was time-barred as it was not ... - Issues involved: Appeal against Order-in-Original confirming demand under Section 11A(1) of the Central Excise Act, 1944 and imposing penalty under Rule 173Q of the Central Excise Rules, 1944.Details of the Judgment:Issue 1: Time Barred Show Cause NoticeThe appellant contended that the show cause notice was time-barred as it was not issued within the prescribed period. The appellant acknowledged the non-filing of price lists in Part II for goods supplied to UNICEF. However, it was argued that the excisable value in Indian Rupees was disclosed in the monthly RT 12 Returns, along with relevant gate passes and invoices from UNICEF showing higher prices in US Dollars. The appellant highlighted its participation in the cash compensation scheme, receiving 100% reimbursement of excise duty paid on transactions with UNICEF. It was emphasized that the failure to disclose the contract price for UNICEF in the price lists was not intentional to evade duty. Consequently, the proviso to Section 11A(1) could not be invoked, rendering the show cause notice time-barred.Decision:The impugned order was set aside, and the appeal was allowed, considering the circumstances presented by the appellant regarding the time-barred show cause notice.