CEETA INDUSTRIES LTD. Vs. COMMISSIONER OF CUSTOMS, BANGALORE

JUDGEMENT

(1.) THIS stay application is filed by the applicants for the waiver of pre -deposit of duty amounting to Rs. 30,491/ - and stay of the recovery proceedings.

(2.) THE Counsel appearing for the appellants submitted that they procured two numbers of photocopies machines from M/s Bee Electronics Ltd., by availing exemption in terms of Notification 53/97 -Cus, dated 3 -6 -1997, for use in their own plant which is an EOU and were bonded in their bonded warehouse under Bond No. 1/96. He relied upon the decision in the case of CC, Bangalore v. Infosys Technologies Ltd., reported in 2003 (159) E.L.T. 863 (Tribunal) = 2003 (56) RLT 307 in support of his claim and submitted that prima facie case is in favour of the party. In that case it was held that in the case of an EOU, goods warehoused and used in its bonded warehouse premises, demand on the basis of non -availability of the exemption can be raised at the time of debonding only.

(3.) ON the other hand Smt. Radha Arun justified the action of the department in raising the demand. Further more she said that ratio of the decision referred to and relied upon by the Counsel is not applicable to the facts of this case.