1957 (5) TMI 2 - HC - Customs

Summary

Issues:
1. Validity of assessment to customs duty on newsprint imports.
2. Refusal of refund of excess duty by Customs Authorities.
3. Objections raised regarding delay in filing writ petitions, appropriate relief, and exhaustion of statutory remedies.

Detailed Analysis:
1. The petitioner, a paper merchant, challenged the assessment of customs duty by the Assistant Collector of Customs on newsprint imports in two writ petitions. The controversy revolved around the duty rate applicable to the imports - specific duty for newsprint in reels or ad valorem duty for newsprint in sheets. The petitioner claimed the lower rate but Customs Authorities levied ad valorem duty, leading to a refund request denial, prompting the writ petitions.
2. The Assistant Collector refused the refund citing lack of evidence for concessional rate eligibility for colored paper imports and the width of newsprint for the second import. The Collector of Customs upheld the decisions based on the absence of proof for newspaper printing utility and adherence to existing duty assessment practices. The petitioner contended that trade usage should not override statutory rules, as established in a previous judgment by Rajagopalan J.
3. The objections raised against the petitioner's claims were technical in nature, including delay in filing writ petitions, the appropriate relief sought, and the necessity to exhaust statutory remedies. The court dismissed the delay objection considering the pending legal proceedings and accepted the filing of additional writ petitions for appropriate relief. The court also rejected the argument to exhaust statutory remedies, emphasizing the inadequacy of the right of revision as an alternative remedy.
4. Ultimately, the court allowed the later writ petitions for certiorari, setting aside the orders refusing the refund of excess customs duty. However, the earlier writ petitions were dismissed, and no costs were awarded in any of the writ petitions.