https://www.taxtmi.com/caselaws?id=52503 Where imported inputs are cleared under an advance licence and the export obligation is duly fulfilled, a later duty demand for domestic sale of those inputs does not survive, because the basis of alleged misutilisation ceases once licence conditions are satisfied. Confiscation and redemption fine are also unsustainable where the bond has already been cancelled before the show cause notice, since liability under the licence conditions no longer continues. Any penalty for unauthorised domestic disposal may still be imposed for the procedural lapse, but it must remain proportionate to the breach and the surrounding extenuating circumstances. en-us Fri, 19 Dec 2003 00:00:00 +0530 Wed, 06 Oct 2010 11:47:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=52503 Where imported inputs are cleared under an advance licence and the export obligation is duly fulfilled, a later duty demand for domestic sale of those inputs does not survive, because the basis of alleged misutilisation ceases once licence conditions are satisfied. Confiscation and redemption fine are also unsustainable where the bond has already been cancelled before the show cause notice, since liability under the licence conditions no longer continues. Any penalty for unauthorised domestic disposal may still be imposed for the procedural lapse, but it must remain proportionate to the breach and the surrounding extenuating circumstances. Case-Laws Customs Fri, 19 Dec 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=52503