1999 (7) TMI 718

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..... use notice No. 39/95/SCN/DD dated 7-7-1995 was issued to the appellants requiring them to show cause why adjudication proceedings should not be held against them for non-realisation of the export proceeds of US $ 27,009.06 relating to three GRI Nos. (i) GS-26605, dated 17-7-1991, (ii) GS-2 6602 6 dated 17-7-1991, and (iii) AB-197003 dated 16-12-1992. This show-cause notice was replied as per letter dated 5-12-1995 where after, not satisfied with the reply, the adjudicating authority held the adjudication proceedings and passed the impugned order. 3. The learned counsel for the appellants filed five Vakalatnamas in their favour at the time of hearing and the same are placed on record. 4. The learned counsel for the appellants submitted tha .....

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..... r export proceeds, i.e., (1) letters written by the authorised dealer (bank) to the bank of the foreign buyer, (2) request made to Indian Embassy, Dhaka, for its intervention for securing payment, and (3) correspondence made to Association of Exporters in Bangladesh for their intervention. The learned counsel submitted that the appellants cannot be held guilty in view of the precedent as per FERA Board's order dated 20-11-1995 in Appeal No. 112 of 1995. Fourthly, the case for write-off of the outstanding amount had already been moved to the RBI and if the write-off is granted, the question of contravention of the provisions of the Act, cannot arise. He relied, for support, on the FERA Board's order dated 17-2-1994 in Appeal No. 454 .....

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..... certificate is an evidence. 7. The next question is whether the appellants took sufficient steps as a reasonable man to recover sale proceeds. It is true, as can be seen from records of this case, that the appellants wrote directly to the purchaser demanding payment of the goods and also approached the Indian Embassy, Dhaka, seeking intervention for realisation of their export proceeds. A legal notice was also sent in October 1995 to the purchaser. The appellant's bank was also engaged in correspondence with the purchaser's bank. There is no doubt that these efforts can be treated as reasonably sufficient. Moreover, exports were made against L/C whereby appellants secured the price of goods. Thereafter it is for the appellants' .....

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