2008 (1) TMI 750

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....hri K. Sambi Reddi, JDR, for the Respondent. [Order per : S.L. Pareen, Member (J) (Oral)]. -  The appellants are required to pre-deposit duty of Rs. 1,02,85,791/- and penalty of Rs. 15 lakhs under Section 112(a) of the Act and Rs. 1 lakh on Shri Shrikant B. Navale. The appellant is a 100% EOU working under EHTP Scheme. They are holders of a Private Bonded 'Warehouse Licence and an In-bo....

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....antity of the duty free raw materials/spares/components/parts "as such" i.e. without subjecting them to any further activity. Therefore, it was observed by the Department that there were clear violations of para 10/10A of the Notifications and the relevant provisions of the Foreign Trade Policy 2004-2009. 2. The appellant's contention was that they were carrying on several activities of ma....

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....ried out by them as not a process of manufacture. He submits that there cannot be duty confirmed for goods, which have been exported, which has been done in the present case which is not legal and proper. He submits that in terms of the Circular cited above, the activity carried out brings into existence new goods and, therefore, they have not exported the Parts "as such" as per the definition. He....

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....nd the Department is barred from questioning these exports in the light of the permission granted by the Development Commissioner. He relies on a large number of judgments which are based on the Circular cited by him which holds that the term 'manufacture' has to be given a wider connotation. He submits that the Revenue do not have any case in the matter and prays for complete waiver. 5. T....