KHADER NAWAZ Vs. THE CUSTOMS AND CENTRAL EXCISE

JUDGEMENT

(1.) This Writ Petition has been filed for a Writ of Certiorari cum Mandamus to quash the Order of the First Respondent bearing No.27/2006 dated 17.11.2006 and to direct the First Respondent to admit and dispose of the Application filed by the Petitioner.

(2.) The case of the Petitioner is that he is a trader in DEPB licence. In the course of business, the Petitioner states that Mr.J.Kaviyarasan, Manager(Imports) of M/s.Sabari Logistics, Chennai approached the Petitioner in February,2003 for DEPB licences on behalf of M/s.Sri Devi Extractions Pvt Ltd, Namakkal. Pursuant to the said request, the Petitioner arranged for the following DEPB licences: No.0410036789 dated 18.02.2003 for Rs.1,85,654/- and No.0410036790 dated 18.02.2003 for Rs.6,79,900/- pertaining to M/s.Five Star Marine Exports. The payment for the said two licences was received in the name of M/s.Five Star Marine Exports. Subsequently, Mr.J.Kaviyarasan approached the Petitioner with another cheque drawn in favour of the Petitioner's concern, namely, M/s.Mayoora Enterprises for an amount of Rs.22,53,532/- and explained that Ms/.Sri Devi Extractions Private Limited, Namakkal had issued the cheque wrongly in favour of the Petitioner's concern and requested for encashment of the same for the reason that the return of the cheque would delay the payment for the licence already supplied to the importer, namely, M/s.Sri Devi Extractions Private Ltd.

(3.) The Petitioner further states that Mr.J.Kaviyarasan specifically stated before the Investigating Officer that Sri Khader Nawaz of Mayoora Enterprises is not aware that the encashed amount of Rs.22,53,532/- should be given to Sri Vijay Jhaver who was the supplier of the controversial licence in this case. Therefore, the Petitioner states that he had no role in the matter either in respect of procuring the controversial DEPB licence No.0410034788 or representing to anybody as if the said licence is a genuine one. The Petitioner further states that the importer, namely, Sri Devi Extractions Private Ltd filed an application for settlement of the case before the Settlement Commission and accepted the duty liability of Rs.26,12,205/-. On coming to know about the said Application, the Petitioner also filed a Settlement Application before the Settlement Commission and the said Application was numbered as C.No.VIII/10/143/2006-SC. However, the Settlement Commission, by Order No.27/2006-Cus. dated 17.11.2006, rejected the Application of the Petitioner on the ground that the Petitioner did not satisfy the conditions specified under Section 127(B)(1) of the Customs Act,1962. The said Order dated 17.11.2006 is impugned in this Writ Petition.