By TIOL News Service

NEW DELHI, MAR 24, 2015: THE respondent assessee filed shipping bills for export of Man Made Filament Yarn and made ups under claim of DEPB. On market enquiry, it was found that the value declared was much higher than the present market value and the exporter was trying to avail excess DEPB benefit. Accordingly, the Adjudicating Authority decided the value of goods exported based on present market value.

On appeal by the assessee, the Commissioner (Appeals) allowed the claim of the assessee and revenue is in appeal before the Tribunal against the order of Commissioner (Appeals).

After hearing both sides, the Tribunal held:

On careful examination of the impugned order, we find that the same has been passed in a very casual manner. The Commissioner (Appeals) has passed the order totally unaware of the facts and figures involved in the case as pointed out by the Revenue. His finding that there was no significant difference between the maximum market price of Rs.80 per yard and export price of Rs.102 per yard was based on the imaginary figures as the actual figures involved in the present matter are market price of Rs.20-22 per metre and FOB value of Rs.132 per metre . The FOB value was discovered by the Revenue through market enquiry. It is also observed that the Commissioner (Appeals) has passed the order based on the wrong facts and figures. Obviously when he was unmindful of the correct facts and figures, he (Appeals) has passed the order based on the wrong facts and figures. Obviously when he was unmindful of the correct facts and figures, he could not appreciate the context of applicability of judgement quoted by the Revenue and the respondents/exporters. As consequence, it would be inappropriate for us as final fact finding authority to base our decision on Order-in-Appeal which does not take into account the facts involved, the extant of law, value of exported goods, administrative guidelines on the issue of applicability of judgement quoted by both sides.

Accordingly, the Tribunal remanded the matter to the Commissioner (Appeals) for a fresh decision.

(See 2015-TIOL-537-CESTAT-DEL)