CC, ICD, TKD Vs. KADMABRI WORLDWIDE AND ORS.
LAWS(CE)-2015-1-57
CUSTOMS EXCISE AND GOLD(CONTROL) APPELLATE TRIBUNAL
Decided on January 29,2015

Cc, Icd, Tkd Appellant
VERSUS
Kadmabri Worldwide And Ors. Respondents


Referred Judgements :-

SHILPI EXPORTS V. CC [REFERRED TO]
SIGMA INDUSTRIES V. CC,NEW DELHI [REFERRED TO]
FROST INTERNATIONAL LTD. V. CC (EXPORTS) [REFERRED TO]
POLYNOVA CHEMICALS INDUSTRIES V. CC [REFERRED TO]
CC V. VISHAL EXPORTS OVERSEAS LTD [REFERRED TO]
S. CHANDER SHEKHRAN V. CC [REFERRED TO]
COMMISSIONER OF CUSTOMS VS. VISHAL EXPORTS OVERSEAS LIMITED [REFERRED TO]
Collector of Customs VS. Pankaj V Sheth [REFERRED TO]
COMMISSIONER OF CUSTOMS EP VS. FROST INTERNATIONAL LTD [REFERRED TO]
GLOBE TRADERS VS. COMMISSIONER OF CUSTOMS [REFERRED TO]


JUDGEMENT

Manmohan Singh, Member (T) - (1.)REVENUE have come in appeal against the Order -in -Appeal No. CC(A)/Cus/ICD/D -II/55/08 and Order -in -Appeal No. CC(A)/Cus/ICD/D -II/54/08 dt.29.1.2008 passed by Commissioner of Customs, New Delhi. Commissioner (Appeals) set aside Order -in -Original No. 68/SNB/2007 and OIO No. 68/SNB/2007 dt.30.04.2007 passed by the Adjudicating authority i.e. Assistant Commissioner of Customs (Export Shed), New Delhi and held that the assessee were entitled for DEPB benefit at declared export price.
(2.)THE facts of the case as stated in the Commissioner (Appeals)'s order are stated below to appreciate the issue involved in the appeals that the appellants M/s. Kadmabri Worldwide filed two shipping Bills No. 1543780 dated 07.11.2005 and M/s. Kultar Exports filed two shipping bills No. 1532727 and No. 1532729 dt.27.9.2006 for export of Man Made Filament Yarn with or without embroidery and made ups of one or more man made filament yarn under DEPB scheme. The description of the goods declared was Man Made Filament Yarn with or without embroidery and made ups of one or more man made filament yarn. The export goods under Shipping Bill No. 1543780 and dated 07.11.2005 and shipping Bill No. 1532727 dated 27.9.2006 were examined by the SIIB Officers in association with shed Officers and in the presence of CHA. Representative samples were drawn from the shipment in the presence of CHA by the SIIB Officers and were sealed in separate envelopes, which were signed by the representative of CHA and the SIIB officers for conducting market enquiry. Export was allowed provisionally.
Market enquiry conducted resulted in following comparison between the FOB value declared by the exporter and Present market Value is given in following chart.

In respect of M/s. Kadambri Worldwide:
JUDGEMENT_57_LAWS(CE)1_2015.html
Outcome of the market enquiry revealed that the value declared by the appellants in both the above mentioned shipping bills was higher in comparison to market value, it was observed that the appellants by declaring FOB value @ Rs. 132.00/128.00 per Metre of the fabric attempted to avail excess DEPB benefit which was not due to them in as much as the value arrived at as a result of market enquiry was very low in comparison to the said shipping bills. The case was decided by the Adjudicating authority who decided that the value of the impugned goods @ Rs. 22.00 per Metre in respect of shipping bill No. 1532727 dated 27.09.2006 was correct market price. Similarly in respect of value of impugned goods at the rate of Rs. 22/ - in respect of shipping bill No. 1543780 was correct market price.

(3.)LD .Counsel of the assessee contested before the Commissioner (Appeals) that overvaluation held by the department and that there was no overvaluation of goods exported to M/s. Pardesh Mulla Khail Kamawal Co. Ltd., Kabul which were in the normal course of international trade on the negotiated price. It was further contented that the entire export value had been realized which was evident from the bank realization certificate issued by Lord Krishna Bank. It was also emphasized that since foreign buyer was an independent firm and the entire export proceeds have been realized and the value declared by the assessee has been proved to be genuine. Reliance was placed of Tribunal in the case of Shilpi Exports v. CC -1998 (83) ELT 302 confirmed by the Supreme Court as reported, 2000 (115) ELT A219 and S. Chander Shekhran v. CC -2000 (132) ELT 751 confirmed by the Supreme Court as reported in : 2003 (154) ELT 353.
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