TaxTMI 
TaxTMI 
2006 (12) TMI 292
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....ur Shipping Bills, they realized sale proceeds and thereby foreign exchange, whereby DEPB credit in two scrips was obtained. Sale proceeds under the fourth Shipping Bill (24-7-02) could not be realized and, therefore, the party did not seek DEPB credit on the export covered under that Shipping Bill. The goods exported under all the four Shipping Bills were rejected by the foreign-buyer, whereupon the appellants filed a Bill of Entry on 15-3-2004 declaring USA as the country of origin in respect of the entire quantity of the goods. SIIB, who examined the goods, foundthe original Shipping Bill marks on all packages. From these and allied findings, it appeared to the Customs authorities that the goods covered under the Bill of Entry were the s....
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....alling under Sl. No. 1 were covered by Sl. No. 2B of the Table. Goods other than those falling under Sl. No. 1 & 2 were covered by Sl. No. 3 of the Table. The importer's claim was under this entry and, accordingly, duty-free clearance was sought. This claim was rejected by the Commissioner, who, apart from confiscating the goods with option for redemption thereof on payment of fine and imposing penalty on the appellants, directed them to produce DEPB before the proper officer of Customs for debiting an amount of Rs. 7,06,344/- being the DEPB credit obtained by the party against some of the exports made by them. The redemption fine imposed by the Commissioner in lieu of confiscation of the goods valued at Rs. 84,19,320/- is Rs. 10 lakhs and ....
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.... act which act or omission would render such goods liable to confiscation under Section 111, or abets the doing or omission of such an act, or (b) who acquires possession of or is any way concerned in carrying, removing, depositing, harbouring, keeping, concealing, selling or purchasing, or in any other manner dealing with any goods which he knows or has reason to believe are liable to confiscation under Section 111, shall be liable, - (i) in the case of goods in respect of which any prohibition is in force under this Act or any other law for the time being in force, to a penalty [not exceeding the value of the goods or five thousand rupees], whichever is the greater; (ii) in the case of dutiable goods, other than prohibited goo....
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....mporter. This takes us to the question as what is meant by "Dutiable goods" ? This is an expression defined under the Customs Act vide Section 2(14). "Dutiable goods" mean any goods which are chargeable to duty and on which duty has not been paid. In the present case, admittedly, during the material period, 'finished leather' attracted duty at specified rate under the tariff but Exemption Notification No. 21/2002-Cus. (as amended) granted full exemption from payment of duty thereon. In other words, during that period, the Revenue was not entitled to charge any duty on the goods. Where duty is not so chargeable, the goods are said to be "not chargeable to duty" and, by virtue of the above definition, they are not 'dutiable' goods. Where the ....