BANWARI LAL CHARITABLE TRUST Vs. CC

JUDGEMENT

(1.) THIS appeal by the assessee is directed against the order -in -original of Commissioner (I&G) dated 27.12.2005 confirming customs duty demand of Rs. 60,91,872/ - on the appellant.

(2.) THE facts of the case briefly stated are that in December, 1986 the appellant imported CT Scanner worth Rs. 56,36,969/ -. The import being duty free in terms of Notification No. 279/83 -Cus dated 30.09.1983, the appellant was exempted from payment of duty and as such no customs duty was paid on the said import. In June, 1994 the instrument was sold to one Shri Ram Singh Hospital & Heart Institute. The case of the appellant is that the CT Scanner after continuous use for more than seven years, had become unfit for use and, therefore, had to be sold off. It is stated that before selling it the appellant had consulted M/s Blue Star Ltd. who certified that life of the machine had expired. On 13.02.1995, show cause notice was issued to the appellant as well as the said Shri Ram Singh Hospital alleging that the CT Scanner had been sold without approval of the Directorate General of Health Services in contravention of the condition of Notification No. 279/83 -Cus and, therefore, it was liable to be confiscated and the appellant was liable to pay customs duty. The appellant and the other noticee contested the show cause notice and by order dated 30.07.1996 the Commissioner of Customs dropped the proceeding. As regards the proposed demand of duty amounting to Rs. 60,91,872/ -, the Commissioner held as under:

(3.) ON 20.05.1997 a fresh show cause notice was issued to the appellant proposing duty amounting to Rs. 60,91,872/ -. It is the specific case of the appellant which is, prima facie, borne out by the record that the said show cause notice was founded on same facts as the previous one dated 13.02.1995. The appellant contested the show cause notice, inter alia, on the ground that similar notice had been dropped earlier and another notice on the same facts was not maintainable. The appellant's plea was not accepted and by the impugned order duty demand of Rs. 69,91,872/ - was confirmed.