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Issues:
Determining the applicable rate of exchange for imported goods under the Customs Act, 1962 based on the date of presentation of Bills of Entry. Analysis: The petitioner, an importing company, presented Bills of Entry for goods aboard the S.S. Tiger River V-147 on 31st March, 1992, under the second proviso to Section 46(3) of the Customs Act. The dispute arose regarding the rate of exchange to be used for valuing the imported goods, as per the proviso to Section 14(1) of the Act, which mandates using the rate of exchange on the date of Bill of Entry presentation. The respondents argued that the proviso to Section 46 was not applicable since the vessel arrived more than 7 days after the Bills of Entry presentation. However, the Court emphasized that the key consideration is whether the vessel was expected to arrive within a week when the Bills of Entry were presented, not the actual arrival date. Objective criteria, such as shipping times and notices, indicated that the S.S. Tiger River was expected to arrive on 6th April, 1992, within the 7-day period, fulfilling the requirements of the proviso. The Court noted that the respondent authorities did not seriously dispute the objective evidence presented by the petitioners regarding the expected arrival date of the vessel. The petitioners provided shipping times and notices showing the reasonable expectation of the Tiger River's arrival on 6th April, 1992, within 7 days of the Bill of Entry presentation. As all tests for falling within the second proviso to Section 46(3) were met, the Court allowed the writ application. An interim order directed the assessment of the petitioner based on the rate applicable on the date of Bill of Entry presentation, and the goods were released to the petitioner upon payment of assessed dues and providing a bank guarantee for the rate difference. With the Court's finding that the applicable rate was that of 31st March, 1992, the only consequential order required was the discharge and return of the bank guarantee by the respondent authorities to the petitioners. In conclusion, the Court's decision favored the petitioner, emphasizing the importance of the expected arrival date of the vessel within a week of Bill of Entry presentation for determining the applicable rate of exchange under the Customs Act, 1962.
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