JUDGMENT

Santosh Hegde, J.-The appellant in these appeals manufactures beer in its Solan and Ghaziabad Breweries for which it uses Lupofresh aromatic hop pellets which is normally imported from abroad. For their requirement of abovementioned hop pellets they used to place orders with an agent by name M/s. Pyarelal Sarin (Agencies) Private Limited, New Delhi, who, in turn, used to arrange for supply of hop pellets required by the appellant. On 11.6.1991 the appellant was informed that 2000 kg. of hop pellets had been despatched to their brewery which was received by them on 20.7.1991. The hop pellets so received by the appellant were from M/s. Arusan Industries who, in turn, had received the same from M/s. Integrated Exports, Madras. In view of certain raid conducted by the Directorate of Revenue Intelligence in the premises of the appellant with regard to the said hop pellets, they came to know that there was certain investigation being conducted by the Customs Department with reference to the said consignment of hop pellets. Since the appellant was a bona fide purchaser in the ordinary course of its business, it made enquiries with M/s. Integrated Exports as to the legality of the