MOHAMMED ZEESHAN HUSSAIN Vs. CANARA BANK REP

JUDGEMENT

(1.) THE short question involved in this complaint is: Whether the Opposite Party - Bank was bound to forward the invoices for collection from the overseas buyer, even though the C&F value was not declared at the time of customs clearance of the goods? Admittedly, before the Customs authorities FOB value of the goods was only mentioned without disclosing the C&F value, or, to say that, the value mentioned in the invoice was double than the FOB value.

(2.) IN our view, in such set of circumstances, because of the Foreign Exchange Regulation Act, 1973, the Opposite Party Bank cannot be held to be deficient in service for not forwarding the invoices to the foreign buyer without certification by the customs clearance office or without the permission of the RBI. Facts:

(3.) THE Complainant contends that as per the terms and conditions of the agreement entered into between the complainant and the buyer, the entire shipment of medicines was to be executed by the midst of May 1999 and blankets by June 1999. It is further contended that to expedite the relief work, the buyer requested that the entire shipment of medicines be executed by 10.5.1999. In view of the urgency involved, it was agreed that the first consignment would be sent by air and the remaining consignment by sea.