ORDER
J.H. Joglekar, Member (T)
1. On hearing both sides on the stay application, it is appeared that at this stage itself the main appeal could be disposed of. Both sides agreeing, this was done after granting waiver of pre-deposit of the sums confirmed and imposed as prayed for.
2. The Commissioner in the impugned order imposed penalty of Rs. 55,000/- and also confirmed demand of Rs. 11,16,468/-. The ground for this action was that the appellant had contravened the provisions of Notification No. 203/92 Cus in as much as in the manufacture of export goods, the input stage credit had been availed of. In doing so, the Commissioner observed that the appellant had not filed any reply nor had they appeared for personal hearing.
3. Before us, the appellant placed a copy of reply dated 24.3.99 duly received in the Custom House on 1.4.99. In the reply it was claimed that the export goods were not subject to any duty. In the appeal memorandum it is further claimed that the appellants were the transferee holder of the licence and that no liability was fastened upon them to pay duty for any contravention committed by the original holders.
4. In the face of the reply, we find that the Commissioner had passed the impugned orders in violation of the principles of natural justice. The appellants had further claimed that they did not receive any notice for hearing. In view of the legal submissions made by the appellants, we deem it proper to allow the appeal and remand the proceedings back to the jurisdictional Commissioner, he shall give adequate opportunity to the importers to state their case before him and then pass a well reasoned order.
(Dictated in Court)