2018 (6) TMI 945

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....icence. The appellants had fulfilled the export obligation under the advance licence. The appellant had fulfilled the export obligation under the advance licence. The raw material was transferred to job worker for carrying out certain process and for return of raw material. The appellants had been working with the said job worker for almost 10 years. However in the impugned period, the job worker did not return the goods to the appellants but sold the same in the open market due to his own financial problems. The fact was also admitted by the job worker on an affidavit and is supported by various statements of the employees of the job worker and the appellant recorded under the Customs Act. The appellant on realising this misdeed by the job....

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....n terms of bond. He further argued that for any breach of post importation condition, demand under Section 28(1) of Customs Act cannot be invoked. For this proposition, he relied on the apex court in CT Scan Research Centre Pvt. Ltd. 2003 (155) ELT 3(SC). He argued that demand is not sustainable in these circumstances. He further argued that the appellant is a fitment made by the job worker and the appellants informed revenue well in advance. He argued that the allegation of suppression or wilful misstatement cannot survive. He pointed that in E/639 to 641/04 the Tribunal has granted substantial relied from penalty to the appellants. He argued that in these circumstances, no penalty can be imposed. 3. He argued that there was no proposal....

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....venue has relied on the statement of Shri Balkrishna Trivedi, who was the excise clerk of the job worker. 7. The revenue has sought to rely on the aforesaid statement to state that the appellants were involve in cover of operation and tried to show the receipt of goods unprocessed from job worker. 8. There is nothing in the aforesaid statement which indicates the role of the appellant or its employees. In fact the statement of Shri Kuber Dutt Sharma, General Manager (Commercial) of appellant there is no admission regarding making of fake challan to show receipt of the goods back in their unit. In the aforesaid circumstance, we do not find any merit in the revenue's allegation of suppression, misdeclaration or fraud on the part of the ....