TaxTMI 
TaxTMI 
2010 (12) TMI 169
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....nt to the order of the Honrable High Court of Madras dated 11.11.2009. 2.The brief facts of the case as was recorded by the Tribunal in its order dated 21.9.2006 are as under:- M/s.Sandip Exports Ltd. had filed Bill of Entry No.39260 dated 8.9.2003 through CHA for clearance of 3061.82 Kgs. of Mulberry Raw Silk imported from M/s.Chongqing Golden Silk Co.Ltd., China under Bill of Lading No. WYO 308195 dated 10.8.2003 and invoice dated 8.8.2003 wherein the value of the goods was mentioned as US$ 37,507. The consignment was sought to be cleared under an advance licence dated 22.3.2002 issued in the name of the said company and with the benefit of duty exemption under Customs Notification No.48/99 dated 29.4.99. The Bill of Ent....
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....nd (o) of the Customs Act and the importer was liable to be penalized under Section 112 (a) of the Act and (v) similar goods imported by them in the past had been diverted for purposes other than export production. On this basis, a show-cause notice was issued to M/s.Sandip Exports Ltd. by the Commissioner for recovering duty of Rs.20,34,882/- from them in respect of the goods covered by the aforesaid Bill of Entry, confiscation of the goods under Section 111 of the Customs Act and for imposition of penalty on the party under Section 112 of the Act. The noticee did not reply to the notice, nor did they attend the personal hearings offered by the Commissioner. M/s.Ishwar Impex, Bangalore (appellants herein) made a representation dated 28.3.2....
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....order the denial of benefit of duty exemption claimed under Customs Notification No.48/99 dated 29.04.1999 for the consignment covered under the Bill of Entry No.39260 dated 08.09.2003. 2.I demand the differential duty of Rs.20,34,882/-for the goods covered under the Bill of Entry No.39260 dated 08.09.2003 be paid by them along with interest applicable as per Sec 28 AB of Customs Act, 1962. 3.I order the confiscation of goods totally valued at Rs.18,49,278/- under Section 111 (m) and 111 (o) of the Customs Act, 1962. However, I give the option to M/s.Sandip Exports Ltd., Kolkata to redeem the goods on payment of fine of Rs.30,00,000/- (Rupees Thirty lakhs only). 4.I impose a penalty of Rs.8,00,000/- (Rupees Eight lakhs only) ....
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....er has sold the impugned goods to them against payment and they have retired the bank documents evidencing title to the goods. The learned counsel submits that they are willing to clear the impugned goods on payment of appropriate duty and redemption fine. 6. Heard the learned DR who submits that M/s. Sandip Exports held themselves out to be importers in this case and filed the Bill of Entry for clearance of the goods against advance licences. Since clearance was sought against advance licences without payment of duty, the Bill of Entry was assessed and the said M/s. Sandip Exports did not pay any customs duty but they paid the amount of cess as leviable and as assessed on the Bill of Entry. They were also given out of charge order to cl....
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....adjudicating Commissioner has also ordered confiscation of the goods but has allowed M/s. Sandip Exports to redeem the same on payment of redemption fine of Rs. 30 lakhs. The penalty of Rs. 8 lakhs imposed by him on M/s. Sandip Exports Ltd. as noted earlier stands set aside by the Tribunals order dated 9.10.2007 which has become final in the absence of any appeal against the same. It is evident from the records and the submissions made before us that the impugned goods were sought to be cleared without payment of duty and there would have been huge loss of revenue but for the timely detection by the customs officers. The present appellants M/s. Ishwar Impex were nowhere in the picture at all till the investigations were started by the Custo....