ANITA INTERNATIONAL Vs. COLLECTOR OF CUSTOMS

JUDGEMENT

(1.) The petitioner No. 1, M/s. Anita International is a registered Small Scale Industrial Unit and is registered with Council of Leather Export sponsored by Ministry of Commerce, New Delhi. It manufactures leather goods and exports the goods to foreign countries. The petitioner wanted to avail of the benefit of Duty Exemption Scheme and applied for grant of an additional licence on 19th March, 1992 in the Office of the Joint Chief Controller of Import and Exports, for importation of components like Zip Fastener, Button Lining etc. to be used in the export products. An advance licence was issued to the petitioner with an attached list showing the items allowed to be exported. The advance licence along with the duty exemption entitlement certificate was received by the petitioner on or about 5th May, 1992.

(2.) The petitioner had earlier entered into a contract for supply of leather jackets to M/s. Chrico Diefusion of 9 Rue Duppies, 75003 Paris, France. The importer opened an irrevocable letter of credit bearing No. D.O. 109/024/340 dated 1-4-1992 through the Bank Society De Banque Suisee Swiss Bank of Corporation, Geneva - TLX 42235 to Allahabad Bank International Branch, Calcutta. According to the terms and conditions of the letter of credit the goods were to be shipped by 21st May, 1992.

(3.) To fulfil the export obligation, the petitioner manufactured the export items, i.e. and products the leather jackets from indigenous materials, as there was no specific order from the buyer that a particular type of component of any foreign origin were to be used. The petitioner prepared all the necessary shipping documents and despatched the goods to Dock to avail the ready vessel. The necessary shipping documents and shipping bills No. 1336 dated 29-4-1992 and No. 1388 dated 29-4-1992 for shipment of the goods per vessel Navy Card Ret. No. 226/92 and per vessel Tiger River, Ret No. 207/92 respectively were made ready and submitted to the Customs Officers.