ASHAPURI METALS PVT. LTD. Vs. COMMISSIONER OF CUSTOMS

JUDGEMENT

(1.) THE assessee has filed this appeal against the judgement of Customs Excise & Service Tax Appellate Tribunal ("the Tribunal" for short) dated 23.6.2014 raising the following questions for our consideration:

(2.) THE issue pertains to amount of predeposit insisted upon by the Tribunal for entertaining the appeal of assessee on merits. It may be recorded that the assessee was a 100% export oriented unit. It made exports of raw materials on the condition of export of finished goods. It is the case of the department that the assessee failed to fully fulfill its export obligations and fall short of export target. On such basis, show cause notice was issued. Upon adjudication, the adjudicating authority confirmed the duty demand of Rs. 1.13 crores (rounded off) with interest and penalty of matching amount. However, in view of the fact that there was no allegation of diversion or illicit clearance of goods, the proposal contained in the show cause notice of confiscation of goods was dropped. It was against this order that the assessee preferred appeal before the Tribunal. In order to enable the assessee to pursue the appeal on merits, the Tribunal by the impugned order imposed condition of predeposit of Rs. 10 lakhs.

(3.) TAX appeal is therefore, dismissed. Civil Application also stands dismissed.