TMI Blog2006 (4) TMI 377X X X X Extracts X X X X X X X X Extracts X X X X ..... t, the subsequent cancellation of the same on the ground that original allottee procured them by fraud will not have any bearing upon the imports made by the appellant. There is nothing in the impinged order to reflect upon any mala fide on the part of the appellant or to show that he was a party to the fraudulent obtaining of scrips by M/s. Parker or had any knowledge about the tainted character of the scrips. As such, we are of the view that the imports made by the appellant in terms of the said scrips cannot be held invalid. We also find force in the appellant s contention that the import having been made in the year 2000, subsequent raising of demands by way of issuance of show cause notices dt. 30-5-2002 and 12-6-2002 are hopelessly ba ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... scrips obtained by M/s. Parker, two were purchased by the appellant and utilised for import of the duty free goods in terms of Notification No. 34/97-Cus., dated 7-4-97, proceedings were also initiated against the appellant for denying them the benefit of the said scrips and for demanding duty in terms of the provisions of Section 28 of the Customs Act. 4. The said proceedings were contested by the appellant on the ground that they are bona fide purchasers of the DEPB scrips and the goods having been imported in 2000 itself, notices issued subsequently after the expiry of the limitation period in May and June, 2002 were squarely barred by limitation. The appellant contended that at the time when they imported the goods, they were holding v ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f India [2003 (161) E.L.T. 47 (Bom.)] it was held that transfer of licence to transferee for value without notice of fraud by original licence holder is governed by common law and not by provisions of any statute. As such, transaction cannot be held to be void ab initio but voidable at the instance of party defraud. The Hon ble Court observed that inasmuch as, the procedure was followed by the transferee while getting the licence transferred in their names and the petitioner had obtained licences for valuable consideration without any notice of the fraud alleged to have been committed by the original licence holder while obtaining licences. If that be so, the concept that fraud vitiated everything would not be applicable to the cases where ..... X X X X Extracts X X X X X X X X Extracts X X X X
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