9911796707
TMI Blog2009 (10) TMI 630X X X X Extracts X X X X X X X X Extracts X X X X ..... orted. The petitioner, as per the policy, was entitled to import the raw materials against an advance license in terms of the policy in force for the period 1997-2002. Para 4.1.1., states that the advance license is issued to allow duty free import of inputs which are physically incorporated in the export product (making the allowance for wastage). 3. The controversy involved in this matter is whether on account of less user of inputs in the production of goods than as per the norms provided in the policy, the petitioner in respect of such balance amount of inputs is not entitled to exemption. The respondents have demanded duty on such balance inputs on the ground that the manufactured goods contain less quantum of inputs. 4. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er Notification No. 43/2002. 7. The question for consideration is - once a notification is issued, setting out the norms, an advance license is issued and inputs imported against an advance license, is it open to the Customs Authorities to go behind the license? A similar issue came up for consideration before the Delhi High Court in the case of C.L. Jain Woollen Mills v. Union of India, reported in 1995 (79) E.L.T. 197 (Del.). The learned Bench of the Delhi High Court took the view that when the license is valid and duly covering the goods imported, the Customs Authorities are not competent to go behind the licence that impinge upon the jurisdiction of the licensing authority. Our attention was invited to several citations in the com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d to pay any unjust dues per se would cause hardship. 9. In the instant case, the petitioners have not violated the terms of the notification. The advance license was issued to them. They have complied with the terms of the advance license. The revenue where-ever it desired that when inputs are imported based on the norms and the inputs have been allowed based on a percentage content in the inputs with the export product with some wastage or on net to net basis or on net plus wastage basis, the exporter shall account for the quantity allowed for import minus the wastage permitted, if any, in the product exported. In other words, a provision has been made for accounting. In the instant case, there is no such provision. 10. In the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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