- (1.) These appeals arise from the impugned orders dated 13.9.2005 and 12.5.2010 passed by the Customs, Excise & Service Tax Appellate Tribunal (for short, the 'CESTAT'), West Zonal Bench at Mumbai. By the said orders, the CESTAT has allowed the appeals of the respondentsimporters on the ground that the demand of duty is barred by limitation. It also set aside the penalties imposed under sections 114A and 112(a) on the importers.
(2.) In brief, the two respondents had used certain Special Import Licences (SILs) of gold bars and silver bars on payment of concessional rate of duty under Notification No.117/94 dated 27.4.1994. Apparently, the authorities detected during the investigation that the said SILs were forged and fabricated. The authorities therefore issued a show cause notice on 20.4.1999. In the said show cause notice, it was recited that the Joint Director General of Foreign Trade, Kanpur, who was asked to confirm the genuineness of the licences, wrote a letter F.No.VIG.-0254/KAN/JDG/1993/70 dated 26.1.1998 stating that no special import licence had been issued to the importers. Therefore it was averred in the show cause notice that the concessional rate of duty could not have been availed and the importers were liable to payment of full duty.
(3.) There was an averment in the show cause notice that the duty has been "short levied" on the imported goods due to willful mis-declaration and suppression of facts and on the strength of forged documents. Therefore, respondent - M/s Zenith Ltd, appears liable to pay penalty under section 114A and the duty is recoverable from them in terms of section 28(1) read with the provision thereof along with the interest in terms of section 28AB of the Customs Act. A similar averment is also there in respect of other respondent viz., M/s Adani Exports Ltd..;