BASERA EXPORTS Vs. COMMISSIONER OF CUSTOMS, KANDLA

JUDGEMENT

(1.) The prayer in the application is for dispensing with the condition of pre -deposit of duty amount of Rs.16,36,750/ - and an equivalent amount of personal penalty imposed upon the appellant under the provisions of Section 112 of the Customs Act, 1962 and another quantum of personal penalty of rs. 5 lakhs imposed in lieu of redemption fine by the Commissioner of Customs, Customs House, Kandla.

(2.) Ms. Sujata Grover, Proprietor appearing in person on behalf of M/s. Basera Exports, New Delhi submits that they had imported 'brass scrap' under the Advance Licence Scheme and availed duty free clearance of imported goods under Notfn. No. 203/92 -Cus dated 19.5.1992. As against the said duty free importations they were required to make export of 'Tips for Ball Pen Refills'. However, the export obligation in terms of the licence could not be fulfilled by them inasmuch as their advance licence was taken by the DRI from the premises of their Customs House Agent when their premises was raided by the DRI. Thereafter, they had written to the DIR on 2 or 3 occasions for return of the said advance licence to them so as to enable them to fulfil the export obligation. Nothing was heard from the DRI. Subsequently, they exported the final product under another advance licence against which no imports were made earlier and the Director -General of Foreign Trade (DGFT) was approached for clubbing of the two licences. She submits that the matter is still pending before the Jt. DGFT as is evident from the letter dt. 25.1.2001. As such, she submits that inasmuch as the export obligation has been admittedly fulfilled by them and the matter of clubbing of two licences is pending before the DGFT, the deposit of any amount of duty and penalty would cause them undue hardship. She also submits that the said import was done by her husband, who expired in the year 1997. Thereafter, the firm has been closed and she is running from piller to post to get the matter settled. In these circumstances, she prays for allowing the Stay Petition unconditionally.

(3.) Shri M.M. Dubey, ld. JDR appearing for the Revenue submits that admittedly, the export obligation has not been fulfilled and there are no orders from the DGFT for clubbing of the licence. He submits that the contravention as on date has to be looked into and mere pendency for clubbing the two licences by the DGFT would not in any way affect the out -come of the decision. As such, he submits that the Adjudicating Authority has rightly confirmed the demand of duty and penalty on them.