ALUMINIUM INDUSTRIES LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) THE petitioner, which is a Company engaged in the manufacture of electric conductors, placed order on June 11, 1982 with a company in Switzerland , for 14s Metric Tonnes of E. C. Grade Aluminium Rods, under Import Licence issued by the Government of India. THE Aluminium rods were consigned in two lots, one of 75 metric tonnes by the vessel M. V. Kostrena and the balance 70 metric tonnes by the vessel M. V. Bernburg. THE first consignment of 75 metric tonnes was despatched on June 28,1982. THE vessel carrying the same touched Bomba y on July 31, 1982 and reached the destination namely Cochin Port , on August 2,1982.

(2.) AT the time the goods were despatched and upto July 31, 1982 the Import Duty payable on the Aluminium rods in question was 15 per cent basic duty and 15 per cent auxiliary duty (as per partial exemption notifications Exts. R1 and R2 issued by the Government of India on December 3,1981 and December 3,1982) as also additional duty of 23. 1 per cent under S. 3 of the Customs Tariff Act, 1975. The partial exemption was rescinded/ modified by fresh notifications dated July 31, 1982 (Exts. R3 and R4) with the result the duty payable on the import from August 1, 1982 stood enhanced to 60 per cent basic duty, 30 per cent auxiliary duty and 23. 1 per cent additional duty.

(3.) THE Petitioner challenges the demand for duty at the enhanced rates on various grounds. It is contended first that under S. 15 of the act, duty is liable to be computed at the rates, and on the valuation, in force on the date on which the Bill of Entry in respect of the goods is presented. S. 46 entitles the Bill of Entry to be presented one week prior to the expected arrival of the vessel. Since the Bill of Entry in this case was presented on july 31, 1982 as authorised by S. 46, the duty has to be computed and paid only at the rates prevailing on that date. Though the proviso to S. 15 specifies that when a Bill of Entry is presented before the date of entry inwards of the vessel, it shall be deemed to have been presented on the date of such entry, it is contended that this has to yield to the provisions of S. 46 which permits filing of the Bill of Entry one week prior to the expected arrival of the ship, and hence duty is payable only at the rates prevailing on the date of filing of the Bill of Entry.