2025 (10) TMI 1201

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....nation in order [order-in-original no: Belapur/142/Belapur I/R-IV/COMMR/KA/2013-14 dated 19th February 2014] of Commissioner of Central Excise, Belapur fastening duty liability of Rs. 16,81,626 under section 28 of Customs Act, 1962 and Rs. 44,76,723 under section 11A of Central Excise, along with interest as applicable in the relevant statutes, and penalties of like amount under section 114A of Customs Act, 1962 and under section 11AC of Central Excise respectively on raw materials removed, as such, without being deployed in manufacturing process. 2. The appellant is a manufacturer of 'P&P medicaments' and had been procuring 'Rifampicin IP/BP/USP' against notifications [no. 52/2003-Cus dated 31st March 2003 and no. 22/2003-CE dated 31st ....

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....oods but cleared as such to other units and on payment of duties of central excise, as applicable, by debit of CENVAT credit account. Of these, Rs. 44,76,7213 pertains to duty foregone on domestic procurement of the said raw material. The appellant had foregone duties of central excise on such payment and, in terms of the exempting notification [no. 22/2003-CE dated 31st March 2003], the appellant was required to make good the benefit so received. As a consequence of the availment, the supplier has been enabled clearance without discharge of duties of central excise, as applicable and, as consequence of non-utilization, the burden for payment shifted to the appellant even as leviability remained fastened on the taxable event of clearance. T....