TaxTMI 
TaxTMI 
2008 (1) TMI 202
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....wners who are merchant exporters, without payment of duty. M/s. A-La Mode Exports and Twinkle International after receiving the goods from the appellants exported them and as a proof of export they furnished Form-14B prescribed under the Sales Tax Law) and Bills of Lading. Since the appellants have themselves not exported the goods manufactured by them and the goods carried the brand name belonging to A-La Mode Exports and Twinkle International, a show cause notice was issued to them stating that they were required to pay duty in respect of readymade garments carrying brand name of other two persons amounting to Rs. 67,33,211/- along with interest and also proposed penalty under Section 11AC and Rules 173Q of Central Excise Rules. The show ....
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....hat the appellants have made strenuous efforts to show that the goods manufactured were exported but unfortunately the issue here is not whether the goods were exported or not. The issue is whether the noticee is entitled to clear the goods without payment of Central Excise duty from his factory. Since the assessee has not followed the prescribed procedure under Rule 19, he cannot clear the goods without payment of duty as following the prescribed procedure was a substantial requirement. It was submitted that the fact that the goods were exported is not, in dispute. Once the goods have been exported duty cannot be demanded on the basis of circular issued in 2002. This circular even otherwise deals with the representation received from the S....
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....dence regarding proof of export was submitted. Similarly in the case of Affan Shoes (P) Ltd. - 2000 (122) E.L.T. 868 (Tri.) it was held that though excise levy is on production and manufacture, its recovery is deferred by law till entry of goods in domestic market and Revenue has to establish that the goods have entered into domestic market even goods for which no procedure has been followed. Procedure lapses were also condoned and rebate in respect of goods exported was held admissible by the Tribunal in the case of Alpha Garments reported in 1996 (86) E.L.T. 600 (Tribunal). Even non-furnishing of bond or letter of undertaking as required under Notification No. 42/2001 (N.T.) issued under Rule 19 of Central Excise Rules, 2002 were held not....