Customs, Excise and Gold Tribunal - Mumbai
Texport (India) vs Commissioner Of Customs, Mumbai on 16 April, 2001
ORDER
Gowri Shankar, Member (Technical)
1. The application is for waiver of deposit of penalty of Rs 2.00 lakhs imposed under Section 112 of the Act.
2. We have heard both sides.
3. The penalty has been imposed on the finding of the commissioner that the applicant has wrongly claimed the benefit provided in the Duty Exemption Pass book(DEPB) Scheme. the contention that entry 43 of the Schedule to the Scheme laying down the rates was at the relevant time ambiguously worded, and before its amendment permitted and interpretation that it covered only the hosiery which was to be made from 100% polyester fabric has prima facie merits, as does the contention that the goods were covered by tow entries-entry 43 and entry 47. The further contention that clause (d) of section 113 of the Act would not be available for confiscation, since the goods were neither restricted nor prohibited is also prima facie acceptable and therefore no penalty is imposable.
4. Accordingly, we waive deposit of the penalty imposed and stay its recovery.