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7. As regards the issue raised by way of questions F to I, in Show Cause Notice, it was stated as under:-

13. The extended period of five years is invocable under proviso to Section 28(1) of the Customs Act, 1962 as the DEPB Scrip was obtained fraudulently by the Exporter by forging/substituting the Export documents and by making mis-representation/ mis-

statement before the Licensing Authority. But for the DEPB Scrip obtained fraudulently the importer would not have been able to import the goods duty free under Notification No.34/97-Cus dated 7.4.1997. Moreover, in terms of Hon'ble Supreme Court Judgment in the case of Commissioner of Customs Vs. Candid Enterprises 2001 (130) ELT 404 (SC) fraud nullifies everything and limitation does not apply."

M/s Friends Trading Co. have also raised the issue of limitation, I find that in the present case, the DEPB Scrip that was used by them towards debit of duty has been cancelled ab-initio by Jt. DGFT, Ludhiana as the same was obtained by forging and mis-declaration. In the light of the Hon'ble Supreme Court Judgment in the case, the Commissioner of Customs Vs. Candid Enterprises, 2001(130) ELT 404 (SC), it is clear that fraud nullifies everything and limitation does not apply. In view of cited case, limitation period doesn't apply in the present case and duty is recoverable from M/s Friends Trading Co. Majith Mandi, Amritsar." The Commissioner (Appeals) observed:-