9911796707
TMI Blog2005 (5) TMI 359X X X X Extracts X X X X X X X X Extracts X X X X ..... e deletion of the conditions set out in the licence is due to misrepresentation or suppression of material facts on the part of the petitioners. It is not even the case of the revenue that the deletion of the licence condition was carried out by the officers of the department in connivance with the petitioners. Therefore, if the deletion of the condition was a bona fide error or misconstruction of the import policy by the officers of the department the petitioners cannot be made to suffer. Thus, we hold that issuance of show cause notice (Annexure G ) is absolutely unjustified. Consequently, we have no option but to quash and set aside the show cause notice and hold that the petitioner has acted pursuant to the amendment made in the licence ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... which are fully exported. The petitioner, as per the Import Policy for past several years, has been recognised as eligible exporters. The petitioner was given advance licences under the scheme popularly known as the DEEC scheme ; allowing import of required raw materials for being used in the final product meant for export in toto which entitled the petitioner to claim benefit of clearing raw material totally duty free. 4. The petitioner states that the said scheme has been changed from time to time depending upon the statistical data and commercial requirement of the Government of India and accordingly, relevant changes were made from time to time in the Import Policy. 5. The petitioner states that under the Import Policy (AM 1988-91) the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... petitioner stated that the bills of entry under which the goods were imported were covered under its Import Licence which was bearing No. 0307729, dated 7th October, 1992. 10. The petitioner states that after the importation of the goods, they were detained and the clearance were not allowed by third respondent. However, subsequently, the goods were cleared duty free. The petitioners were allowed to utilise the said raw material in their factory and the finished products manufactured therefrom were exported. 11. The petitioner appears to have been served with the show cause notice issued by the third respondent on 18th October, 1993; wherein the second respondent stated that the petitioner was bound to abide by the value restrictions since ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... breach of Import Policy prevailing at the relevant time. Submissions : 14. The learned Counsel appearing for the petitioner submitted that on the basis of the deletion of value restrictions, petitioner made imports. It acted to its own prejudice by importing the raw material believing the representation made by the office of the DGFT that there are no value restrictions so far as the licence held by the petitioner is concerned. Thus, in the submission of the petitioner now, the revenue is estopped from issuing any show cause notice or demanding any duty from the petitioners. Accordingly, he submits that even if it was mistake, since it was acted by the petitioner now the respondents cannot be allowed to take advantage of their mistake and s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e cannot be estoppel against law is well recognised. However, when the import is in accordance with the import licence issued to the petitioner, the respondents cannot take shelter under the import policy and purport to take action against the petitioner. It is not the case of the respondents that the deletion of the conditions set out in the licence is due to misrepresentation or suppression of material facts on the part of the petitioners. It is not even the case of the revenue that the deletion of the licence condition was carried out by the officers of the department in connivance with the petitioners. Therefore, if the deletion of the condition was a bona fide error or misconstruction of the import policy by the officers of the departm ..... X X X X Extracts X X X X X X X X Extracts X X X X
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