1997 (2) TMI 332

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....under Tariff Item 68 of the said Tariff. They had taken a licence for manufacture of A.C.S.R. and were paying duty thereon. In order to avail the benefit of exemption from duty on goods falling under Tariff Item 68, the appellants submitted a declaration under Notification No. 111/78 (exemption being from licensing control under Tariff Item 68 giving a certain declaration as per the prescribed form under the said notification against Item No. 4, 5 & 6 as follows : "4. Full description of the goods (item wise) manufactured by the factory.     (1) M.S. Pipe           (2) Tubular trueses           (3) H.B. Wire&e....

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.... & 5 was made in respect of goods falling under Tariff Item 68 only i.e. M.S. Pipes, Tubular trueses, H.B. Wire, Wire Nails. 1.2 On the basis of the said declaration, the appellants continued to avail the benefit of Notification 105/80 and the subsequent Notification 77/83. Later on, the Department felt that the benefit of Notification 77/83 availed of by the appellants was not correct inasmuch their aggregate clearances of all excisable goods including that of A.C.S.R. exceeded Rs. 40 lakhs. Hence duty of Rs. 36,120.50 for clearances of goods under Tariff Item 68 during the financial year 1983-84 was proposed to be recovered by show cause notice dated 16-8-1984. The said amount of duty has been confirmed by the lower authorities an....

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....ng financial year 1983-84. Therefore, the charges of suppression against the appellants are clearly sustainable. The argument that the Department was fully aware about the manufacture of A.C.S.R. cables will not be of any avail because it was the appellants' duty to make a proper declaration under the relevant declaration under Notification 111/78. There is no contemporary evidence which can go to show that assessee's suppression in the said declaration under Notification 111/78 was merely a bona fide ommission and not wilful. He, therefore, submits that the entire amount of duty of Rs. 36,120.50 is recoverable from the appellants since larger limitation of five years has been rightly invoked. The amount of penalty of Rs. 20,000/- sustained....