TaxTMI 
TaxTMI 
2025 (8) TMI 654
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....ellers, M/s Prem Jewellers, M/s Ambica Vikas Udyog, M/s Krishan Chander Ramesh Chander (P) Ltd., Shri Gulshan Rai Kohli, Shri Mukesh Kumar Sawal Chand Bohra, Shri Jinesh Kumar Jain, Shri Ranjit Kumar Hirachand Ji Jain, Shri Manoj Kumar Vaishnav, Shri Pankaj Jain, Shri Neeraj Jain Shri Mahendra Kumar Amrit Lal Jain and Shri Komal Jain as discussed in forgoing paras in case of failure on the part of the concerned persons/parties to pay the same." (emphasis supplied) 2. The appellant is a multinational financial service provider in India having market in bullion business. In order to cater the bullion requirement in India, the appellant imports bullion from the affiliates of Bank of Scotia located across the world and supplies the same to gems and jewellery domestic manufacturers as well as manufacturer exporters in India. For the purpose of importing bullion, the appellant obtained the license of nominated agency in accordance with paragraph 4.41 of the Foreign Trade Policy 2015-2020 from the Reserve Bank of India in the year 1997. 3. The appellant availed the benefit of a Scheme called "Export Against Supply by Nominated Agencies" as contained in the Notification No. 57/200....
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....ewellery or articles: *****" (emphasis supplied) 5. The second proviso to the opening paragraph of the Notification was deleted by Notification No. 33/2015-Cus dated 15.05.2015 and the relevant portion is reproduced below: "Notification No. 33/2015-Cus dated 15.05.2015 In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962), the Central Government being satisfied that it is necessary in the public interest so to do, hereby directs that each of the notification of the Government of India in the Ministry of Finance (Department of Revenue), specified in column (2) of the Table hereto annexed shall be amended or further amended, as the case may be, in the manner specified in the corresponding entry in column (3) of the said Table, namely :- Serial number Notification number and date Amendments (1) (2) (3) ***** ***** ***** 5. 57/2000-Customs, dated the 8th May, 2000, G.S.R. 413 (E), dated the 8th May, 2000 In the said notification,- (I) in the opening paragraph (i) in clause (a), for the word, letter and figures "paragraph 4A.14", the word, letter and figures....
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....ant also pointed out that the show cause notice was only marked to the appellant. The reply submitted by the appellant in response to the show cause notice is reproduced below: "We, The Bank of Nova Scotia, ('Bank') refer to the captioned Show Cause Notice ('SCN') issued to our customers, M/s Nikkamal Jewellers Ltd, M/s Krishna Chander Ramesh Chander (P) Ltd., which has also been marked to us. In this regard, we would like to inform your Goodself that we have not been asked to show cause with respect to the allegations made in the SCN and accordingly, we understand that the same is marked to us for our information. Therefore, we are not making any submissions before your Goodself at this stage. Further, we request your Goodself that any action adverse to the interest of the Bank including but not limited to enforcement of the Bond executed by us, should not be taken without giving us an opportunity to make submissions and giving us an opportunity of personal hearing. We submit that there are no allegations in the SCN against us of any default made by us and therefore we would request your Good-self not to initiate any adverse action against our interest."....
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....recoverable along with interest and penalty as discussed in the aforesaid paras. b) ***** c) ***** d) In the case of exporter namely M/s Krishan Chander Ramesh Chander (P) Ltd., Custom duty foregone has been determined at Rs.3,56,08,249/- against which an amount of Rs.4,06,43,459/- has been deposited by M/s Nova Scotia Bank on behalf of the exporter. Accordingly, the excess amount of Rs.50,35,210/- paid by them needs to be adjusted against the interest and penalty payable by them as discussed in the aforesaid paras. 85. In view of the above, I am of the opinion that differential amount recoverable on account of duty, interest and penalty needs to be appropriated by enforcing the bonds executed by the importers i.e. the nominated agencies." (emphasis supplied) 12. It is seen that in the case of the appellant, two exporters namely M/s. Nikkamal Jewellers [Nikkamal Jewellers] and M/s. Krishan Chander Ramesh Chander (P) Ltd. [Krishan Chander] have been mentioned and the differential amount recoverable on account of duty, interest and penalty has been appropriated by enforcing the bonds executed by the appellant. 13. Shri Udit Jain, learned c....
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....for the appellant and the learned special counsel appearing for the department have been considered. 16. As noted above, the appellant was appointed as a nominated agency and in terms of the Notification was allowed to import gold without payment of duty after executing a bond with the Assistant Commissioner of Customs. The gold imported by the appellant was then required to be exported in the form of jewellery or articles either by the appellant or through any other exporter. 17. It clearly transpires from the show cause notice dated 29.11.2017 that though it had called upon various persons to show cause, but the appellant was not required to show cause and only a copy of the show cause notice was marked to the appellant. 18. This fact was specifically pointed out by the appellant in the reply dated 24.01.2018 submitted to the show cause notice but no steps were taken by the department to issue a corrigendum to the show cause notice. This is what was also emphasized by the learned counsel for the appellant at the time of hearing of the appeal, but still the order was passed to the effect that the differential amount of duty, interest and penalty against Nikkamal Jewellers....