MMTC LTD. AND ANR. Vs. CC

JUDGEMENT

(1.) ALL the above six appeals involve a common issue and are hence heard together and disposed of by this common order.

(2.) The details of the first four appeals filed by M/s. M.M.T.C. Ltd. are as under:

(3.) PURSUANT to the above Scheme, a number of manufacturers/exporters set up units in the NOIDA EPZ. Under the Scheme, M/s. MMTC Ltd was a nominated agency which could also import goods including gold for supply of the same to exporting units of the EPZ for manufacture and export as per terms and conditions of the EXIM Policy and as per Customs Notification No. 177/94 which granted exemption from payment of duty on goods such as raw materials, components, etc. imported into India by Gem and Jewellery units for manufacture of Gem and Jewellery for export out of India or for the promotion of export of gems and jewellery, subject to certain conditions and the notification was also made applicable to silver and gold imported by M/s MMTC and SBI for being supplied to Gem and Jewellery units in EPZ under the Scheme for export of gold and silver jewellery and articles. M/s. MMTC filed bills of entry for import of gold which was issued to four units approved for manufacture and export of gold jewellery namely M/s. Amit Jewellers, M/s. Goldex, M/s. Zevarth Overseas and M/s. Unique Jewellery. The gold imported by M/s. MMTC and supplied to the above mentioned four units was not utilised for manufacture and export of jewellery/articles which was in contravention of the condition of Notification No 177/94 and the EXIM Policy and the bond executed both by M/s. MMTC as well as by the individual units. Therefore, show cause notices were issued proposing recovery of Customs duty from M/s. MMTC Ltd. and proposing imposition of penalty on M/s. MMTC as well as penal action against the four units, the details of the notices are as under: