TaxTMI 
TaxTMI 
2016 (12) TMI 1501
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....1.09.2000 from M/s Xeikon N.V. Belgium. The bill of entry was filed and goods were cleared on 20.12.2000 by paying concessional rate of 5% in pursuance to the EPCG Licence under Notification No. 49/2000-Cus. dated 27.3.2000. The appellant could not install the machine in their factory and could not discharge their export obligation. As appellant failed to discharge their export obligation, a show cause notice was issued on 18.02.2011 to demand duty on the said machine for non-fulfilment of export obligation under EPCG Scheme. Thereafter, the adjudication took place and the demand of duty was confirmed alongwith interest and redemption fine was imposed to the tune of Rs. 25 lakhs and penalty of Rs. 10 lakhs was also imposed. Aggrieved from t....
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....lso contended that the depreciated value of the machine is to be taken for quantification of duty and not the value shown in the bill of entry. To support this, he relied on the decision in the case of Suvarna Aqua Farm & Exports Ltd. vs. CC, Guntur 2005 (190) ELT 284 (Tri. Bang.); Nava Bharat Enterprises Ltd., vs. CCE, Guntur 2010 (256) ELT 602 (Tri. Bangalore); Pudumjee Plant Laboratories Ltd. vs. CCE- Pune 2013 (295) ELT 593 (Tri. Mum.). 4. On the other hand, ld. AR submits that as the appellant has failed to discharge their export obligation duty is to be demanded. 5. Heard the parties and carefully considered the submissions. 6. On careful consideration of the fact that the reasons for non-installation of machine was beyond the cont....
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....,00,000/- and penalty of Rs. 5,00,000/- each on the Managing Director and the Executive Director. The question in this appeal is as to whether the goods can be confiscated and redemption fine imposed besides penalties and interest. In a like situation, the Tribunal, in the citations referred to by the Counsel, has held that confiscation cannot be ordered in a circumstance when the export obligation became an impossibility. Further it has been held that when the Bank Guarantee has been realized before the issue of Show Cause Notice, then in such a circumstance, the redemption fine, penalty and interest is not imposable. We have perused these judgments and find that the appellants prayer for setting aside the redemption fine, penalty and inte....
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.... the time of de-bonding, duty can be demanded only on the depreciated value. The depreciation will be till the date of payment of duty as decided in Suvarna Aqua Farm & Exports Ltd. (cited supra), as decided by this Bench. We do not agree that the above benefits cannot be given to the Units as Notification No. 52/2003 and 22/2003 both dated 31-3-2003 are only having prospective effect in view of the various judicial decisions of the Tribunal. Further, the non-fulfilment of export obligation is on account of the business conditions prevailing at that time and not on account of any mala fide act. In such circumstances, imposition of penalties is not justified. Therefore, we set aside the impugned order and remand the matter to the original au....