2023 (11) TMI 71

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....he respondent assessee got approval for setting up a 100% EOU from the Development Commissioner, Kandla. The necessary permission of bonded warehouse under Section 58 of the Customs Act, 1962 etc. were also obtained by the respondent. The respondent assessee imported used textile machinery and its accessories under bills of entry No. 22/2000-01 dated 11.07.2000 and 53/2000-01 dated 29.08.2000 under which the textile machinery valued about Rs. 8.22 Crores were imported which was assessed at nil rate of duty under Notification No. 53/1997-Cus dated 03.06.1997. The total duty forgone on the two bills of entries came to Rs. 4.42 Crores. It is matter of record that the goods covered under bills of entry No. 22/2000-01 dated 11.07.2000 whereunder....

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....nder the following charges have been framed by the department:- "(i) Recover the Customs duty amounting to Rs. 4,43,48,014/- from them on the said used textile machinery and accessories imported from them in terms of Notification No. 53/97-Cus read with condition No. 10 of B-17 bond furnished by them read with Para 9.3 of the Exim Policy 1997- 2002 and para 9.7 of Handbook of Procedure under the said Exim Policy; (ii) confiscate the said parts of the used textile machinery and accessories, as procured by them under the above said bills of entry and lying in the unit of the assessee without installation, under Section 111(0) of the Customs Act, 1962; (iii) impose penalty on them under Section 112(a) of the Customs ....

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....ustodian of ICD, Sachin; (c) The assessee failed to install or use the aforesaid duty free imported machinery within prescribed period and thereby violated condition no. 6 of the Notification No. 53/97-Cus dated 03.06.1997 amended by Notification No. 66/99-Cus dated 19.05.1999. (d) The issue as to whether the assessee is to be allowed re-export of the subject goods or not was not the subject matter of the Show Cause Notice issued in the instant case. The Commissioner has, by concluding to allow re-export of Capital Goods, gone beyond the Show Cause Notice which is not correct and legal. (e) Similarly, the issue as to whether the assessee is to be allowed destruction of the goods or not was also not the subject mat....

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.... on demand an amount equal to the duty leviable on the goods as are not proved to the satisfaction of the Assistant Commissioner of Customs to have been used in the of articles or in connection with the production of packaging or job work for export of goods or services out of India. (a) in the opening paragraph, for the words "when imported into India, for the purpose of manufacture of articles for export out of India", the words "when imported into India or procured from a Public Warehouse or a Private Warehouse appointed or licensed, as the case may be, under section 57 or section 58 of the said Customs Act, for the purpose of manufacture of articles for export out of India", shall be substituted: (b) in condition (6), ....