Substantive compliance for export rebate prevails over procedural lapses when duty-paid goods are actually exported.

Rebate of duty on exported goods remains admissible where duty-paid final goods are exported and the substantive export is established, even if a DTA unit sent inputs for job work to an EOU and procedural conditions were not strictly followed. Permission for job work allowing export from the EOU premises did not create a legal bar to rebate, and defects in CENVAT credit, DEPB references, or document particulars were treated as curable irregularities. Omission of full EOU details in ARE-1 and invoices did not defeat the claim because procedural lapses cannot override substantive entitlement when export of duty-paid goods is proved.

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Issues: Whether rebate of duty on exported goods was admissible where a DTA unit sent inputs for job work to an EOU, the finished goods were exported from the EOU premises, and certain permission conditions and procedural requirements were not strictly complied with.

Analysis: The permission for job work contemplated export from the EOU premises with the DTA unit shown as exporter in the shipping bill, and it did not create a legal bar against rebate of duty paid on the final goods. Any violation of conditions relating to CENVAT credit, DEPB, or document particulars was held not to destroy the substantive entitlement to rebate where duty had been paid on the exported goods and export was established. The omission to mention full details of the EOU or procedural defects in the ARE-1 and invoices was treated as a curable irregularity. The distinction between substantive conditions and procedural requirements was applied, and procedural infractions were held not to defeat an export incentive claim when the substantive export of duty-paid goods stood proved.

Conclusion: The rebate claims were admissible and the impugned appellate orders were unsustainable.

Final Conclusion: The revision applications succeeded, the orders-in-appeal were set aside, and rebate relief was granted on the basis of substantive compliance and actual export.

Ratio Decidendi: Procedural lapses or violation of ancillary permission conditions do not bar rebate of duty on exported goods when the substantive requirements of duty payment and export are satisfied.

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