JUDGMENT

S.B. Sinha, J. - M/s Ganesh Yarntex Export Private Limited filed six shipping bills under the Duty Entitlement Pass Book Scheme (DEPB Scheme) bearing Nos. 136 to 141 dated 06.01.2001. M/s Aadee Exports & Imports, Secunderabad filed five shipping bills bearing Nos. 142 to 147 dated 06.01.200. They declared their address as c/o ABC, II Floor, YMCA Complex, Sardar Patel Road, Secunderabad. All the said shipping bills were filed for post export benefit under the DEPB Scheme claiming credit rate @ 15% vide Sl. No.20(iii) of the DEPB Credit List, Product Group No.89 read with EXIM Policy. The goods were declared as "Dyed Printed Night Wears (Maxis)" in various sizes/colours. The value of the goods was claimed to be Rs.41 lakhs @ US$ 6.40 per piece. The total FOB value of the consignment was declared to be US$ 5,84,064/- (Rs.2.72 crores) approximately. The consignment was made in the name of M/s Reemj Al Maha Trading Est., Dubai, UAE.

2. It was allegedly found that cheap garments were being exported by grossly mis-declaring the description and heavily over-invoicing the value under the said Scheme by the aforementioned two firms. The goods were intercepted at Chennai. Upon exa