2012 (7) TMI 900

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....ppeal No. C/613/2011-CUS(DB) by which the Tribunal directed payment of entire duty component. The question of law arising in this case is whether the Tribunal fell into error in holding that the relief under Section 129E was impermissible and that the circular relied upon in this case i.e. No.16/09-CUS dated 25th May, 2009 was in conflict with the CENVAT and duty drawback scheme and also the provisions of the Act and Rules applicable in this case. 4. The appellant is a merchant exporter who sources or procures readymade garments and ships them abroad upon receiving orders. It claimed benefit in terms of the about circular, which had inter alia provided for relief of set off of the duty component available through the prevalent duty drawb....

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....view that circular was contrary to the statute and the interpretation placed by customs authority and therefore was not binding upon him and relief could be granted only to the extent of drawback on customs but not vis-a-vis excise duty. 6. It is urged on behalf of the appellant that the Tribunal fell into error in holding that the terms of the statute and the prevailing rules had to be given primacy over the interpretation placed by the Board circular dated No.16/09-CUS dated 25th May, 2009. It was submitted that the order in original as well as the proceedings prima facie were contrary to the circular, which was a sufficient pointer to the hardship the appellant would face. Ld. counsel submitted that having regards to the nature of tra....