TaxTMI 
TaxTMI 
2007 (2) TMI 496
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....import capital goods without payment of Customs Duty under Notification No. 13/81 and 53/97. These imported items were required to be used for export production and a bond was also required to be executed for meeting the obligation. The EOU was further entitled to receive indigenously manufactured raw materials without payment of Central Excise duty under Notification No. 1/95. These items were also required to be used for export production. 2. The appellants EOU was commissioned in May, 1996. The LOP had indicated an export obligation of 140 million USD within the first five years of existence. Similarly, net foreign exchange earnings as a percentage of exports was to be for 67%. 3. The appellant imported capital goods invo....
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....demands were confirmed. Thus, there is a duty demand of over Rs. 66 crores under challenge in the present appeal. 6. The duty demand has been made for not fulfilling condition No. 4 of Notification No. 53/97 which is reproduced below :- (4) "Importer exports out of India 100% or such other percentage, as may be fixed by the said Board, of articles manufactured wholly or partly from the goods during the period stipulated by the said Board or such extended period as may be specified by the said Board." 7. The contention of the learned counsel for the appellant is that the aforesaid condition is not attracted in the present case at all inasmuch as, by the time the show cause notice was issued, the appellant had exported....
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....aragraph. The export obligation in terms of bond is to be found in paragraph 16 of the bond. We may read that paragraph :- "16. We the importers shall fulfil the export obligation and conditions stipulated in Notification No. 13-Cus., dated 9-2-1981 as amended up-to-date and in or under the Import and Export Policy for April, 1990 - March, 1993, as amended from time to time, and to pay, on demand, an amount equal to the duty leviable on the goods as are not proved to the satisfaction of the Assistant Collector of Customs to have been used in the manufacture of articles for export and any penalty imposed under the Customs Act, 1962." 10. The above paragraph also is in relation to the imported raw materials (for export product....
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....ssioner may, on being satisfied that there is sufficient cause, allow. It has been further provided that, Commissioner may extend this period for achievement of NFEP or EP for further period not exceeding five years from the date of importation or procurement of such goods. (ii) The duty and interest will also be demanded from the units who have failed to - (a) install or use or re-export the capital goods within a period of one year from the date of importation or procurement or within the extended period as may be allowed by the Assistant Commissioner; (b) Use or re-export/return the imported/indigenous goods procured duty-free (other than capital goods) with....