Home Case Index All Cases Customs Customs + AT Customs - 2006 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2006 (5) TMI 210 - AT - CustomsDemand of duty on account of reduction of credit - imposition of penalties - EXIM - Activity of procuring and processing Marine products and exporting - Use of preservatives - DEPB Scheme - HELD THAT:- In the present cases, although the Customs have permitted the exports of the impugned products, a doubt arose as to the proper use of preservatives/chemicals as per SION. The DRI conducted investigations and issued Show Cause Notices. The Show Cause Notices were sent to the DGFT authorities for taking appropriate action under Foreign Trade (Development and Regulation) Act. The DGFT, after giving an opportunity of personal hearing to the appellants, have passed orders dropping the cases. In other words, DGFT have decided not to reduce the credit given to the appellants. Thus, we are of the opinion that the determination of the DEPB credit and its subsequent modification are entirely within the competency of the DGFT and the Customs authorities cannot commit an act of usurpation by appropriating those powers to themselves. Only in a case where the DGFT modifies the credit given on account of the malpractices of the appellant, the Customs can initiate further proceedings as per law. In these circumstances, in the present appeals, it was submitted that the DGFT had dropped the proceedings in all cases excepting in the case of M/s. Blue Water Foods and Exports Pvt. Ltd. Therefore, we have no other option but to allow all these appeals with consequential relief, if any. As regards the cases pending before the DGFT, any action taken by the Customs is rather premature. Summing up, we allow all these appeals without prejudice to the right of the Customs authorities to take appropriate action in respect of cases pending before DGFT.
|