2017 (7) TMI 787 - HC - Customs

Amendment and conversion in shipping bills - It appears that the Assessee had, inadvertently, in the Shipping Bills filed at the time of exports only adverted to the EPCG Scheme. It is the Assessee s case that the invoices filed along with the Shipping Bills carried both the EPCG License Number as well as the Advance License Number - Held that - there is an inconsistency with regard to the facts as found by the Adjudicating Authority and those found by the Tribunal with regard to whether or not Advance license numbers were referred to in the invoices filed by the Assessee along with the shipping bills. The Tribunal being the final fact finding authority, we would have accepted the finding returned by it but for the fact that the Revenue has placed an invoice before us to which we have made a reference above which clearly does not advert to the Advance License Number - the Assessee has also placed on record its certificate, dated 13.01.2009 issued by the Superintendent of Central Excise to demonstrate that the aforementioned goods, imported under the Advance License were used in the manufacture of excisable goods which in turn were exported by the Assessee. The Adjudicating Authority will on facts reexamine all the relevant invoices and return a finding of fact as to whether or not the Advance License Numbers were adverted to on the said invoices - appeal allowed by way of remand.

Summary

Issues:
- Appeal against the Judgment and Order of the Customs, Excise and Service Tax Appellate Tribunal allowing the Assessee's appeal.
- Discrepancy regarding the presence of Advance License Numbers in the invoices filed by the Assessee.
- Request for amendment and conversion of Shipping Bills by the Assessee.
- Adjudication on whether the Assessee's case falls within the purview of Section 149 of the Customs Act, 1962.

Analysis:
1. The Tribunal allowed the Assessee's appeal, setting aside the order-in-original by the Commissioner of Customs and remanding the matter for amendment and conversion of Shipping Bills. The Tribunal found that the invoices carried both the EPCG License Number and the Advance License Number, leading to the appeal being admitted with specific questions framed for consideration by the Court.

2. The Assessee had imported Aluminum Alloys against Advance Licenses, obligating exports against imports made. While the exports were made, the Shipping Bills only referred to the EPCG Scheme, with the Assessee claiming that the invoices filed contained both the EPCG and Advance License Numbers.

3. The Adjudicating Authority observed that the invoices filed by the Assessee only carried the EPCG License Number, contrary to the Tribunal's findings. The Tribunal, however, noted that the invoices had both numbers recorded, emphasizing the need for a lenient view for export promotion.

4. The Court found inconsistencies between the findings of the Adjudicating Authority and the Tribunal regarding the presence of Advance License Numbers in the invoices. Given the conflicting evidence, the Court directed the Adjudicating Authority to reexamine the matter under Section 149 of the Customs Act, 1962, to determine if the amendment and conversion of shipping bills should be allowed.

5. The Court emphasized that the Adjudicating Authority must thoroughly review all relevant invoices, consider circulars, and examine the Consumption Register provided by the parties before making a decision on allowing the amendment. The appeal was disposed of with the direction for a fresh examination by the Adjudicating Authority based on a comprehensive review of the facts and relevant legal provisions.

6. The Court modified the Tribunal's order, maintaining the remittance of the matter to the Adjudicating Authority but requiring a detailed reexamination to ensure compliance with the Customs Act provisions before allowing the requested amendment and conversion of shipping bills.