Home Case Index All Cases Customs Customs + HC Customs - 2021 (7) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (7) TMI 1034 - HC - CustomsSeeking registration of scrips - benefit under Merchandise Exports from India Scheme (MEIS) - invocation of procedure for cancellation of scrips as set out u/s 9(4) of Foreign Trade (Development and Regulation) Act, 1992 - HELD THAT:- Upon a comparison of the details contained in the bills of export of goods under which the petitioner has claimed duty drawback, with the bills of the parties to the transaction, it is found that the numbers and date tally. It is thus clear that the export documents have been executed by the petitioner. The petitioner also confirms that the FTWZ has neither claimed nor been granted any benefit under MEIS Scheme in regard to the instant transactions. If at all such claims had been advanced, they would have been barred under the provisions of 3.06 (vii) of the policy note. The procedure set out for issuance of scrips is deemed to have been scrupulously adhered to by R3 and this is clear from a reading of clause (h) of the impugned order. The presumption in Clause (h) is that the scrips should be issued only after due scrutiny and, upon the slightest suspicion that the claim may be unacceptable, the Officer has to call for physical documents and decide the fate of the claim by way of a speaking order, if rejected. The issuance of the scrip thus pre-supposes due application of mind by R3 to all relevant stipulations. Clause 3.06 which sets out ineligible categories must thus be assumed, not just to have caught the attention of R3 but to have been thoroughly examined, prior to issuance of the scrip. A detailed procedure for cancellation of the scrips has been set out under Section 9(4) of the FTDR Act. In the absence of this procedure having been invoked, the categoric presumption is that R3 continues to hold the view that the scrips are valid - The explanation put forth for non-cancellation by Mr. Chandrasekaran is that the matter was subjudice. DHL logistics, the FTWZ, merely offers a facility to the petitioner to warehouse its consignments that are to be exported. The destination is decided by UTEXAM, which is the ultimate purchaser, which has paid the petitioner in USD for the consignment. The stipulation in Clause (vii) deals with exports made by a unit in the FTWZ. DHL, the FTWZ does not export the consignments but only facilitates such exports. The exports are thus, by the petitioner through DHL to a destination abroad - The role of DHL in this transaction is that of a warehouse and nothing more. The concept of 'ship to' and 'bill to', as used in this case, has been recognised under the GST regime, as commercial compulsions dictate, that transactions are to be structured in the most economical and least cumbersome manner in terms of time, procedure and expense involved. Petition allowed.
|