2021 (5) TMI 1063

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....ied by M/s Eastman International, Ludhiana, (hereinafter referred to as the Applicant) against the Order-in-Appeal LUD-CUS-001-APP/1038-1042/2018 dated 27.04.2018, passed by the Commissioner (Appeals), Customs & CGST, Ludhiana. Commissioner (Appeals), vide the above mentioned Order-in-Appeal, has rejected the appeal of the Applicant on the ground that the Applicant had not realized the export proc....

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....oresaid Shipping Bill had been realized, in terms of Rule 16A of the Customs, Central Excise Duties and Service Tax Drawback Rules, 1995. Accordingly, show cause notice was issued to the Respondent for the recovery of drawback availed amount of Rs. 2,80,749/- along with interest. Demand of Rs. 2,80,749/- was confirmed by the Deputy Commissioner of Customs, Drawback CFS, OWPL, Ludhiana, vide Order-....

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....its are not to be denied for procedural infractions as they had fulfilled the mandatory condition of export and realization of export proceeds. However, it is observed that the Applicant has themselves admitted in their revision application that the payment was not realized within the stipulated time period or such extended period as granted by the Reserve Bank of India. Further, the Applicant has....

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....on of such period, is not merely a procedural requirement. It is to be observed that drawback is paid before realization of export proceeds and recovery thereof is initiated if such proceeds are not realized within the period prescribed, including any extension of such period. If the requirement of realization within prescribed period is not treated as a mandatory condition, the process of recover....