2014 (11) TMI 817

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....tic Republic of Sri Lanka and Republic of India), Rules, 2000 under Notification No. 19/2000-Cus. (NT) dated 6.3.2000 (in short, Rules, 2000). The officers of Directorate of Revenue Intelligence (DRI) during investigation found that the certificate of origin as produced by the applicant is in contravention of the conditions of the said Rules, 2000. A show-cause notice dated 8.6.2011 was issued proposing to deny the benefit of exemption Notification 26/2000-Cus. (sura) and to demand duty of Rs. 2,26,50,335/- along with interest and to impose penalty against 25 Bills of Entry. It was also proposed to confiscate the goods under Section 111(m) and 111(o) of the Customs Act, 1962. By the impugned order, the Commissioner of Customs (Seaport - Im....

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....ubmits that clause (a)(i) of Rule 7 provides that in the case of import not wholly produced or obtained from the exporting country that will be determined on the basis of value does not exceed 65% of the FOB value of the products produced or obtained and the final process of manufacture is performed within the territory of the exporting country. He submits that it is clearly evident from the letter dated 28.3.2008 that they have not declared the cost statement in the case of import from France and South Korea. He also submits that Notification No. 26/2000-Cus. provides that the goods will be released upon the satisfaction of the proper officer in respect of the fulfillment of the conditions of the rules. He also reiterates the findings of t....

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....meaning of condition (b) of Rule 5, products worked on or processed as a result of which the total value of the materials, parts or produce originating from countries other than the Contracting Parties or of undetermined origin used does not exceed sixty five per cent of the FOB value of the products produced or obtained and the final process of manufacture is performed within the territory of the exporting Contracting Party shall be eligible for preferential treatment, subject to the provisions of clauses (b), (c), (d) and (e) of this Rule and Rule 8. 5. On perusal of the letter dated 28.3.2008 of the Department of Commerce of Sri Lanka, it is noticed that the import of materials from France and South Korea, they have not declared the cos....