Home Case Index All Cases Customs Customs + HC Customs - 2014 (9) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (9) TMI 289 - BOMBAY HIGH COURTSuspension of import / advance license - import of bearings - fraud - it was submitted that, imports were effected by different importers under cover of 15 Bills of Entry and those Bills of Entry were filed prior to suspension of the Licence and the goods were also cleared - Appellant contended that The delay in completing formalities of transferring the Licence and prior thereto, endorsing transferability thereon, would not make the import contrary to law attracting any duty leave alone any penalty, The imports were made prior to cancellation. Held that:- the original licence in the name of M/s. Amrit Laxmi Machine Works was valid up to 21th May, 1999. If the same was stated to be lost in September, 1999, the application for issuance of duplicate licence was made only in October, 1999. Pertinently, a duplicate licence was issued in November, 1999 in the name of original licence holder. In other words, when the Bills of Entry were filed on 19th August, 1999, there was no valid licence in the names of importer. There was no application for transferability made on 19th August, 1999 nor the licence was made transferable. Therefore, in respect of the Bills of Entry filed on 19th August, 1999 the question of extending benefits under the exemption notification does not arise. This judgment in the case of Sampat Raj Dugar [1992 (1) TMI 103 - SUPREME COURT OF INDIA] has been rightly distinguished by the Tribunal in the case before us. The Tribunal, while dealing with the argument that the appellants were entitled for duty exemption as the licence was made transferable, but stood cancelled only on 24th December, 1999 and the imports made prior to this date were eligible for duty exemption, has rightly observed in paragraph 6.21 of the judgment that in this case there was no valid licence in the name of importers. Levy of penalty - Held that:- The justification for imposing penalty is based on the conclusion that there was no valid licence in the name of the importer. He could not have allowed filing of documents before the Customs Authorities. The licence was valid only up to 21st May 1999, yet the Bills of Entry were filed on 19th August, 1999, 15th December, 1999, 20th December, 1999 and 28th December, 1999 claiming benefits of duty exemption under the advance licensing scheme and particularly when no valid licence existed in the names of importer. This is, therefore, not a case of any minor or technical dereliction or breach of rules. The absence of valid licence in the names of importer and yet attempts being made to evade customs duty are rightly termed as fraud. - Decided against the assessee.
|