2024 (2) TMI 1275 - HC - Customs

Cancellation of the Advance Authorization Scheme - For duty free imports - received foreign remittances - Recovery for demand duty - application for conversion of shipping bill from one scheme code to another - HELD THAT - The case of the Petitioner is to the effect that the request of the Petitioner was bona fide and it was obviously on account of a mistake which had taken place in entering the wrong scheme code, hence, the Application filed by the Petitioner for entering the correct scheme code ought to have been granted. We find that as the hearing that has taken place before the Commissioner of Customs NS-II on 29th March 2023 which was post the filing of this Petition, the Petitioner needs to raise all the contentions as raised in the present Petition, before the Commissioner, and an appropriate decision can be taken by the Commissioner, after considering the principles of law as applicable including in the decisions noted hereinabove. Accordingly, a final decision be taken by the Commissioner of Customs, NS-II and an order thereon be passed in accordance with law. Needless to observe that, in the event, the Commissioner is of the opinion that there was any inadvertent error and all other statutory compliances have been met, the Commissioner would consider granting the benefit to the Petitioner. The Petitioner is directed to appear before the Commissioner with a copy of this order - Writ Petition disposed of in the above terms.

Summary

Issues involved:
The issues involved in this case include a petition filed for writs of certiorari and mandamus under Article 226 of the Constitution of India, seeking relief from a letter issued by a customs authority demanding customs duty, and requesting amendment of shipping bills to correct a mistake in the scheme code.

Details of the Judgment:

Issue 1: Writs of Certiorari and Mandamus
The petitioner filed a petition seeking writs of certiorari and mandamus under Article 226 of the Constitution of India, challenging a letter demanding customs duty. The petitioner had received foreign remittances during a specific period and subsequently received a demand for customs duty. The petitioner requested to amend the shipping bills due to an error in the scheme code. The court noted that a personal hearing was granted to the petitioner by the Commissioner of Customs NS-II. The court directed the Commissioner to consider the petitioner's contentions and pass a reasoned order, keeping all contentions open for further review. The court instructed the Commissioner to grant a fresh personal hearing to the petitioner and pass an order within four weeks from the date of the court's order.

Issue 2: Amendment of Shipping Bills
The petitioner had addressed letters and applications to various respondents requesting an amendment in the shipping bills due to an error in the scheme code. The court acknowledged the petitioner's contention that the request for amendment was made in good faith to correct a mistake made by their staff. The court emphasized the need for the Commissioner of Customs NS-II to consider granting the benefit to the petitioner if all statutory compliances were met. The court directed the petitioner to appear before the Commissioner with a copy of the court's order for further proceedings.

Conclusion:
The High Court of Bombay disposed of the writ petition, directing the Commissioner of Customs NS-II to review the petitioner's case, grant a fresh personal hearing, and pass a reasoned order within four weeks. The court kept all contentions open for further examination and instructed the petitioner to appear before the Commissioner on a specified date. No costs were awarded in this matter.