Per Moheb Ali M. : These four appeals have been filed before the Tribunal in terms of Section 129-A of the Customs Act by the four captioned appellants. They arise out of the same Order No. 18/Collr./1986 dated 21.4.86 under reference F.No. VIII/10-12/Collr./85 passed by the Collector of Customs, Ahmedabad. They involve common points of law and hence they were heard together and are being disposed off by this common order.

2. The brief facts necessary for the consideration of these appeals are that M/s. L.D. Textiles Industries Limited obtained two advance licences under the Duty Exemption Scheme envisaged in Appendix 19 of the 1983-84 Import Policy. These licences were 296 2655 dated 5.8.83 for 512.50 M/Ts of Manmade fibres and 2963408 dated 4.6.84 for 2050 M/Ts of Man-made fibres with duty exemption benefit within the over-all limits of 550 and 2200 M.Ts. respectively. One of the conditions of these licences was that the licence holders should export 500 M.T. of man-made spun yarn of Rs. 75 lakhs of f.o.b. value and 2000 M.Ts. of manmade spun yarn valued at US $ 29,00,000/- as envisaged by the DEEC Scheme. Against the first import licence M/s. L.D. Textile Industries Limited imported 2050 bales of manmade fibres of net weight 512.50 M.Ts. valued at Rs. 82,71,459/- under Bill of Entry No. 63 dated 30.3.84 per M.T. Strathfyne at Veraval Customs House and cleared the same for home consumption. The representative sample of the goods from the consignment was drawn by the Veraval Custom House and was tested in the Custom House Laboratory at Kandla which gave the result that the goods were wholly manmade fibres of cellulosic origin (viscose). The consignments was cleared free of duty under Customs Notification No. 117/78 dated 9.6.78 as amended. For availing of exemption under this Notification, the importers were issued the Duty Exemption Entitlement Certificate (DEEC) Book No. 5088/Kandla dated 6.8.83. This import entailed the export obligation of shipping 500 M/Ts. of yarn spun out of imported manmade fibres of British counts 15s ranging to 60s of f.o.b. value of Rs. 75,00,000/-. However, the importers could not fulfill the export obligation and they by their letter dated 26.2.85 signed by Shri Yogesh Mehra addressed to the Superintendent of Customs, Veraval intimated that due to our non-ability to comply with the export obligation, forced by factors beyond our control, since there was an illegal strike at our factory at Ankleshwar, which lasted more than 90 days, we were not in a position to manufacture and ship our goods on time. They thus paid the duty of Rs. 62,84,656.54 by bank draft drawn in favour of Veraval Customs.

3. Against the second licence No. 2963408 dated 4.6.84, M/s. L.D. Textile Industries Limited imported two consignments of 3100 and 3000 bales weighing 812 M/Ts and 750 M/Ts valued at Rs. 1,51,09,631/- and Rs. 1,30,30,004/- respectively per m.v. Strathfyne and cleared them under Bills of Entry No. 22 dated 30.10.84 and 23 dated 30.10.84 respectively. The samples were drawn from these two consignments and sent to the Kandla Customs House for test. The test reports revealed that the goods were dull white entangled mass of short staple fibre (discontinuous) wholly made of manmade fibres of cellulosic origin (Viscose). These two consignments were also cleared free of duty vide the Duty Exemption Entitlement Certificate Book 7003/Kandla 4.6.84 and in terms of the aforesaid Customs Notification No. 117/78 dated 9.6.78 as amended. These two imports entailed export of 2000 M/Ts. of spun yarn made out of manmade fibre valued at US$ 29 lakhs within a period of six months from the date of clearance of first consignment in India against the advance licence.

4. Prior to 13.3.85 the Customs Authorities of Ahmedabad Collectorate received information that M/s. L.D. Textiles Industries Limited, Ankleshwar had imported large quantities of polyester staple fibres under the advance licence scheme and they were selling the same