LIVA HEALTH CARE LTD. Vs. CCEX

JUDGEMENT

(1.) THIS appeal is directed against the Order -in -Original No. 29/CEX/2006 dated 26.9.2006.

(2.) THE relevant facts that arise for consideration are that the appellants made a request for remission of duty against a consignment of pharmaceutical product involving duty of Rs. 1,99,347.52 on the ground that the order for the consignment cleared under ARE -1 No. 052/2004 -05 dated 7.2.2005 from their factory, was cancelled by their customer and returned back on 30.6.2005. The remission application was on the ground that the goods were found not marketable and hence, they have to be destroyed. The adjudicating authority vide the above referred order held that the appellants have not fulfilled the condition of Rule 21 of Central Excise Rules, 2002 and hence the remission application was not sustainable and the same was rejected. Having rejected the remission application, the adjudicating authority directed the appellants to deposit the duty amount involved on the goods.

(3.) THE ld. Advocate appearing on behalf of the appellants submits that it is settled position of law that, even though the goods are cleared from factory for onward export but not exported cannot be termed as 'cleared for home consumption' and therefore entitled for remission.