9911796707
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Issues involved:
Violation of Section 18(2) and 18(3) of the Foreign Exchange Regulation Act (FERA), 1973. Summary: The Adjudication Order was passed against M/s. Rupani Exports for not realizing the full export proceeds amounting to £11,400 for the shipment of leather gents jackets to M/s. Worthgear Ltd., London, U.K. The enforcement officers conducted searches and seized relevant documents. M/s. Rupani Exports and its partners were charged under Section 18(2) & 18(3) of FER Act, 1973. Despite being given an opportunity to respond, no reply was filed by M/s. Rupani Exports. The Adjudicating Authority found that the company had not made efforts to realize the outstanding amount and imposed penalties. The appellants raised objections, including lack of basis for proceedings and coercion in obtaining statements. The respondent defended the order citing compliance with FER Act provisions. The Adjudicating Authority provided an opportunity for the appellants to explain the non-realization of the outstanding amount. The Authority accepted the submission of receipt of £2,400 and gave a fair chance to present evidence. The provisions of Section 18(2) and 18(3) of FER Act, 1973 were analyzed, emphasizing the obligation to repatriate export proceeds and the presumption of non-compliance if payments are delayed. The appellants failed to provide evidence of waivers or extensions, leading to the conclusion that they had not realized the outstanding amount. Consequently, the appeal was dismissed, directing the appellants to deposit the penalty amount within seven days. In conclusion, the judgment upheld the penalties imposed on M/s. Rupani Exports and its partners for non-realization of export proceeds, emphasizing the importance of compliance with FER Act provisions and the obligation to make reasonable efforts to repatriate export proceeds within the prescribed period.
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