Customs

Customs Act, 1962

— S. 28 — If in pari materia with S. 11-A, Central Excise Act, 1944 — Material difference between the two provisions pointed out — Held, words <169>fraud<170> and <169>with intent to evade payment of duty<170> occurring in S. 11-A, Central Excise Act are missing in S. 28(1) of Customs Act and the proviso in particular — However, the word <169>wilful<170> preceding the words <169>misstatement or suppression of facts<170> clearly shows that there has to be an intention to evade duty, (2006) 6 SCC 482-A

Customs

Customs Act, 1962

— S. 28(1) proviso — Notice under, invoking extended limitation period — Necessity to specify the particular omission or act showing wilful misstatement or wilful suppression of facts — Where the notice alleged unauthorised loading, unloading, storage or removal of imported, indigenous items and scrap from the base outside the territorial waters of India but did not specify as to which of the various omissions or commissions stated in the proviso to S. 28(1) were committed by the noticees to attract the extended limitation period — Such deficiency in the notice, held, amounted to denial of opportunity to meet the case of the Department, (2006) 6 SCC 482-B

Customs

Customs Act, 1962

— S. 28(1) proviso — Extended limitation period under — Applicability — Wilful suppression of facts — Case of, if on facts made out — Appellants engaged in exploration and exploitation of offshore oil, gas, etc. as contractors for ONGC — They conducting drilling operations with oil rigs of ONGC at a place beyond the territorial waters of India — Department treating replacement of parts or machinery on the oil rigs as shop stores and not levying duty thereon — Later, department issuing notice to the appellants to show cause against the proposed recovery of escaped customs duty and levy of penalty on the ground that there were unauthorised loading, unloading, storage or removal of imported, indigenous items and scrap from the base concerned — Department acknowledging that it was aware of the nature of the activities at the base concerned and that the fault lay with ONGC and the Department — In such circumstances, held, the extended limitation period not attracted, (2006) 6 SCC 482-C

Customs

Customs Act, 1962

— Ss. 112 and 28 — Penalty — Waived by Court — Assessee found liable to pay the duty only for six months preceding the notice and not for the earlier period — Assessee agreeing to pay — In such circumstances, the penalty, if any, imposed for the said six months, waived, (2006) 6 SCC 482-D