BEML Ltd Vs Commissioner of Customs (CESTAT Bangalore)
CESTAT Bangalore held that goods imported and cleared to industrial consumers are not leviable to MRP based assessment under section 4A of the Central Excise Act, 1944. Accordingly, appeal is allowed and impugned order set aside.
Facts- The appellant is engaged in the manufacture of dumpers, water sprinklers, motor graders, Tatra trucks, Tatra engines etc. falling under Chapter 84 and 87 of the Central Excise Tariff Act, 1985. The goods manufactured by the appellant were mainly sold to industrial / institutional consumers like mining industry, construction industry, rail and metro, defence etc. On the basis of information that the appellant are regular importer of components / spare parts of dumpers and trucks, loaders etc. through Chennai Port and Bangalore and these components / spare parts which are sent to their marketing network across the country for further sale to said customers failed to discharge applicable duty u/s. 4A of the Central Excise Act, 1944, investigation was initiated and on conclusion of the same, demand notice was issued to the appellant on 30.05.2013 for recovery of the differential customs duty of Rs.2,72,36,253/- for the period from April 2010 to November 2011 along with applicable interest and penalty. On adjudication, the demand was confirmed with interest and penalty. Hence, the present appeal.
