Rajesh Bindal, J. - (1.) The petitioner has filed the present petition challenging the order dated 14.5.2012 passed by the Customs and Central Excise Settlement Commission (for short, 'the Commission') in Settlement Applications No. S.A. (C) Nos.2867/2012 & 2871/2012 dated 5.3.2012.
(2.) Learned counsel for the petitioner submitted that the petitioner imported polyester knitted fabric declaring its value at Rs. 12,06,944/-, however, the department found the same to be bonded and woven fabric and assessed the value thereof at Rs. 72,97,160/-. Show cause notice was issued to the petitioner for determination of value of goods imported and duty payable on that. Show cause notice for levy of penalty was also issued. The petitioner approached the Commission. Finally vide order dated 14.5.2012, the Commission assessed customs duty at Rs. 39,00,327/-. Redemption fine of Rs. 3,00,000/- was levied in case the petitioner wanted to get the confiscation of goods revoked. Personal penalty was also levied.
(3.) The contention raised by learned counsel for the petitioner was that on the goods imported by the petitioner Additional Customs Duty/Countervailing Duty (for short, 'CVD') was not leviable as the goods were not liable to levy of excise duty but still the Commission upheld even that part of duty. The order to that extent is beyond the provisions of law, hence, is liable to be set aside. In support of the plea that CVD is not leviable on the goods imported by the petitioner, reliance was placed upon the judgments of Hon'ble the Supreme Court in SRF Ltd. v. Commissioner of Customs, Chennai, 2015 (318) ELT 607 and Commissioner of Cus. (Prv.), Amritsar v. Malwa Industries Ltd., 2009 (235) ELT 214.;