JAINA JEWELERY COMPANY Vs. UNION OF INDIA

JUDGEMENT

(1.) M/s. Jaina Jewelery Company is a partnership firm at Jaipur. The firm is said to be registered with Gems and Jewelery Export Promotion Council. The Joint Director General of Foreign Trade issued Import Export Code number to the firm. The firm applied under zero duty EPCG scheme of Export Import Policy 1997-2002 (for short, "Exim Policy") alongwith the information of intended machinery to be imported. The firm claims to have given the details of all kinds of customs duty leviable in its application.

(2.) The Joint Director, General of Foreign Trade, New Delhi granted EPCG license for import of machineries on Zero Duty by the firm.

(3.) The firm imported plant and machinery s per the license issued under Zero Duty EPCG scheme. The said goods were received at Calcutta port. The firm claims to have submitted relevant custom papers for release of the goods through its customs house agent without payment of duty under EPCG scheme on execution of bond, except three items which were not covered under the exemption license. However, the Commissioner of Customs, Calcutta assessed the goods in categorized customs duty and allowed exemption on basic customs duty only; 10% customs duty on all the goods as additional custom duty amounting to Rs. 10,94,969.02 was levied.