NEETU RAI Vs. UNION OF INDIA

JUDGEMENT

(1.) Alleging that the goods meant for export have been unnecessarily detained and challenging various summons issued by the excise authorities, the petitioner has come up before this Court. The petitioner says that the authorities have wrongly and illegally not allowed the export to be effected on the grounds which are unconnected and/or unrelated to the said export. The attention of this Court is drawn to the summons issued to the petitioner, by which the petitioner has been called to depose verbally and to submit the return of M/s. Texol Chemicals, a proprietorship concern of Mr. S.K. Rai and other documents viz. Balance Sheet, Sales, Purchase, Production of excisable goods of M/s. S.S. Corporation (India).

(2.) In reply to the summons the petitioner indicates that there is no manufacturing activity in the said company and in fact the imports are made from U.A.E. in bulk and is exported in a small package. The petitioner further relied upon a Notification dated March 1, 2003 to contend that S.S.I. exemption is available upto Rs. 1.5 Crore. Ultimately the authority issued an order of detention under Section 110 of the Customs Act. It is not disputed that the petitioner has been given a certificate of Import/Export Code (IEC) on May 5, 2005.

(3.) The learned Advocate appearing for the Customs Authority submits that the detention can be made under Section 110 of the Customs Act if the proper officer has reason to believe that the goods are liable to confiscation. The incidence of confiscation is provided under Section 111 of the Customs Act, which has its restricted applicability to the imported goods.