https://www.taxtmi.com/caselaws?id=119775 The tribunal upheld the duty demand on excess fabric consumption by an Export Oriented Unit (EOU) for manufacturing trousers, as it exceeded permissible limits under Input-Output norms. The penalty imposed under Section 112 of the Customs Act, 1962, was deemed excessive and reduced from Rs. 35,00,000/- to Rs. 8,00,000/- due to disproportionality with the confirmed duty amount. The decision was based on the lack of provision for additional wastage beyond prescribed norms and the need for proportionality in penalty imposition. en-us Mon, 26 Jun 2006 00:00:00 +0530 Fri, 13 Jul 2012 10:58:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=119775 The tribunal upheld the duty demand on excess fabric consumption by an Export Oriented Unit (EOU) for manufacturing trousers, as it exceeded permissible limits under Input-Output norms. The penalty imposed under Section 112 of the Customs Act, 1962, was deemed excessive and reduced from Rs. 35,00,000/- to Rs. 8,00,000/- due to disproportionality with the confirmed duty amount. The decision was based on the lack of provision for additional wastage beyond prescribed norms and the need for proportionality in penalty imposition. Case-Laws Customs Mon, 26 Jun 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=119775