2011 (5) TMI 149 - SC - Customs

Differential duty - The appellants have filed the present appeal being aggrieved by the aforesaid order in respect of which it is being contended that the aforesaid order passed by the High Court is erroneous as the amount for which the bond is to be furnished by the respondents is on the lower side - the goods of the respondents shall be cleared by the appellants herein on the respondents furnishing a bank guarantee of 30% of the differential duty to the satisfaction of the Commissioner of Customs - The appeal stands disposed of

Summary

Issues involved: Appeal against High Court order directing clearance of goods on furnishing a bond, contention on the amount of bond, nature of goods being perishable newsprint, direction on bank guarantee percentage, timeline for adjudication proceeding.

Analysis:
1. The appeal was filed against a High Court order directing the clearance of goods upon furnishing a bond of 20% of the differential duty. The appellants argued that the bond amount was insufficient.

2. The Supreme Court, after considering the circumstances and noting the perishable nature of the goods (newsprint), directed that the goods be cleared upon the respondents furnishing a bank guarantee of 30% of the differential duty to the satisfaction of the Commissioner of Customs.

3. The Court ordered the immediate release of the goods upon furnishing the bank guarantee and satisfaction of the Commissioner of Customs. Additionally, the Commissioner of Customs was directed to expedite the adjudication proceeding, preferably within three months from the date of the order.

4. The appeal was disposed of in accordance with the new directive on the bank guarantee percentage. The Court clarified that its order did not express any opinion on the merits of the dispute, leaving it to be independently considered by the competent authority.