Raja Metal Corporation Vs Commissioner of Customs (CESTAT Chennai)
CESTAT Chennai held that DGCEI appointed as officers of Customs and hence authorize to demand differential duty in terms of section 28 of the Customs Act, 1962 during the material period and there was no infirmity in the SCN.
Facts- The appellant is a manufacturer-exporter of SS utensils. The appellant imported stainless steel coils/sheets without payment of duty under Advance License Scheme for the manufacture and export of final product viz. SS utensils. Based on intelligence regarding the diversion of the said imported goods to the local market the officers of DGCEI, Chennai Zonal Unit conducted search at the factory and office premises of the appellant.
During the search, it was noticed that the appellant had not manufactured any SS utensils out of the imported coils/sheets but had diverted the same to the local market and no export was undertaken on the duty-free goods imported under the Advance Licence.
After due process of law, the Ld. Commissioner of Customs confirmed the proposals in the Show Cause Notice and also appropriated an amount of Rs.7 lakhs voluntarily paid towards the duty liability of Rs.56,94,794/-. Aggrieved by the said order dated 6.10.2009, the appellant came before this Tribunal. However, in due course the appeal came to rejected for non-prosecution. Subsequently this tribunal accepted the appellants plea and restored the appeal vide Misc Order no. 40398 of 2018 dated 19.04.2018 on payment of cost of Rs.50,000/.
