2008 (7) TMI 359

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....ssioner of Customs, Kandla, Gandhidham has preferred this appeal by proposing following two questions stated to be questions of law. [a] Whether in the facts and circumstances of the case, Tribunal is justified in confirming the decision of the Commissioner [Appeals], who set aside the demand of duty on the ground that the Revenue had not attributed misstatement or suppression of fact despite h....

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....led that the said license was obtained by manipulating the export documents and by committing fraud and therefore, the result of the investigation was reported to the Director General of Foreign Trade [DGFT] who cancelled the License vide order dated 24-10-2001. In the meantime, M/s. Beni Exports had transferred the DEPB Scrip No. 3010005328, dated 22-8-2000 to the present respondent - M/s. Binani....

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....n 28 of the Customs Act, 1962 (the Act). That fraud vitiates every act and even if there may be no deliberate act on part of the respondent assessee in commission of fraud yet respondent assessee cannot escape liability to pay duty once the import was found to be on an invalid license. 4. Section 28 of the Act permits issuing of a notice to show cause and determination of the amount of duty or ....

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....Foreign Trade vide order dated 24-10-2001. In light of these facts, both Commissioner (Appeals) and the Tribunal have concurrently found that there was no mis-representation or suppression of facts as on the date of clearance of the imports in as much as the license was valid at the time of import. Accordingly, the demand based on an exercise within the larger period of limitation was not permissi....