TaxTMI 
TaxTMI 
2017 (5) TMI 646
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....tice was issued to M/s Cosmic Textiles Pvt. Ltd., an 100% EOU for recovery of duty of Rs. 30,34,958/-, alleging illicit removal of the raw materials and finished goods from its premises without payment of duty and availing various export benefits; also it is proposed for penalty on the Appellant M/s Cosmic Textiles (P) Ltd and personal penalty on other co-noticees. On adjudication, the demand was confirmed with equal amount of penalty and personal penalty of Rs. 5.00 lakhs on Shri Rajendra Rajyaguru, Rs. 10.00 lakhs on Shri Mehul Lalji Satra, Rs. 10.00 lakhs on Shri Govindbhai D. Patel, Director had been imposed under Rule 26 of Central Excise Rules 2002. Hence, the present appeals. 3. The learned Advocate Shri Mithil Dave for the Appell....
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....vt. Ltd. for non-production of re-warehousing certificates, which ultimately decided in their favour by the ld. Commissioner (Appeals, on production of necessary evidences/certificates. He submits that the Show Cause Notice issued subsequently, the subject matter of the present appeal, was the outcome of the investigation by DGCEI officers against M/s Cosmic Textiles Pvt. Ltd. for alleged illicit removal of the goods from the factory without payment of appropriate duty and also availing various export benefits. Therefore, the plea taken by the learned Advocate for the Appellant M/s Cosmic Textiles Pvt. Ltd. and others that the case against the appellants had already been adjudicated earlier is devoid of merit and cannot be accepted. On the ....
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....oods, from the M/s Cosmic Textiles Pvt. Ltd. unit without payment of duty and resorting into paper transaction to claim various export benefits. Thus, the present Show Cause Notice which was issued after detailed investigation of the persons concerned, transporters, brokers etc cannot be said to be arising out of the same set of facts. In the result, the plea taken by M/s Cosmic Textiles Pvt. Ltd. and its directors are hereby rejected as they have not challenged the findings on merit. In relation to the findings against Shri Rajendra Rajyaguru, the learned Commissioner observed as follows:- "38. Further, I also find that persons who had acted as broker had also played a major role in misleading the Department. All along, the two brokers ....
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....sactions under CT-3 of Amrit Impex were not going to be genuine. In the above statement, though he has not categorically admitted but as found by the learned Commissioner, the Appellant Shri Rajendra Rajyaguru is aware of the fact that the entire transaction would be a paper transaction for claiming wrong benefit. The learned Advocate vehemently argued that the Appellant had not received any commission against the said transaction, therefore, mere introduction of brokers cannot invite penal action against him. We do not find merit in the said argument inasmuch as the Appellant was fully aware of the fact that the transaction would be going to be a paper transaction and not real transaction, itself indicate that culpable mental state of the ....