KIRAN FASHIONS Vs. UNION OF INDIA (UOI)

JUDGEMENT

(1.) THIS appeal has been preferred challenging order dated 26 -6 -2006 made by Customs, Excise and Service Tax Appellate Tribunal, Circuit Bench, at Ahmedabad (the Tribunal) dismissing the appeal filed by the appellant herein. The appellant has proposed the following questions stated to be substantial questions of law.

(2.) THE case of the appellant is that vide bill dated 20 -3 -2001 towards export of 2640 pieces of mens' cotton trousers at U.S. $ 8.8 (C.I.F. per piece), the appellant is entitled to duty drawback. When called upon, the appellant had submitted cost structure at Rs. 372/ - per trouser being the purchase price in hands of the appellant. It is an admitted position that the trousers had been purchased from one M/s. Krishna Impex under invoice No. 187 dated 20 -3 -2001. The said M/s. Krishna Impex had manufactured the trousers after purchasing the cotton fabric from one M/s. Ankita Textile at Rs. 125/ - per mtr under invoice No. 53 dated 14 -2 -2001. Upon inquiry, the adjudicating authority found that the cost of fabric shown by M/s. Ankita Textile and the cost of manufacturing shown by M/s. Krishna Impex were on a higher side than the actual cost. For this purpose, statements of various persons recorded under Section 108 of the Customs Act, 1962 (the Act) were relied upon. On 25 -5 -2001, the Commissioner ordered confiscation of goods valued at Rs. 10,55,875/ - (F.O.B.) under Section 113(d) and Section 113(i) of the Act. A redemption fine of Rs. 2 lacs was imposed along with penalty of Rs. 50,000/ - on the appellant and penalties of varying amounts on other persons.

(3.) AT the time of hearing, the learned advocate for the appellant contended that the Tribunal has ignored various pieces of documentary evidence produced by the appellant before the Commissioner and the Tribunal ought to have called for the said evidence by directing the representative of the department appearing before the Tribunal to produce the original file of adjudication before the Commissioner.