9911796707
TMI Blog2011 (10) TMI 271X X X X Extracts X X X X X X X X Extracts X X X X ..... uired to achieve foreign exchange realisation equal to 5 times the value of the imported capital goods within eight years from import. According to the Appellants they achieved this target of foreign exchange realisation and on the basis of documents produced by them, DGFT issued Export Obligation Discharge Certificates. These certificates were produced before Customs authorities for discharge of the bond executed by the Appellants when goods were imported. 2. The Customs authorities however started an investigation whether the export obligation was properly discharged. During investigation they found that the imported cars were mostly used for free services and unspecified trips and the export obligation was shown to be discharged out of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Export Obligation Discharged Certificate was not issued properly and for that reason duty demanded from the importer was confirmed by the High Court. But the Counsel submits that the facts of this case are different from that in the case of Kumarakam Lake Resorts. In that case the cars were registered in the name of the Director and the Managing Director of the Company and the vehicles were used for rendering services in the form of pick up from the airport and dropping back to the airport to those tourists who occupied two presidential suits of the hotel. The case made out was that foreign exchange realisation from the occupants of the said two suits was only US$ 54,851 as compared to the stipulated obligation of US$ 4,02,381/- for the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hrough the order of the Kerala High Court and explains that the High Court has not taken a very serious view of the fact that the cars were not registered as tourist vehicles. According to him, the order of the High Court of Kerala is on account of the fact that the cars were registered in the names of the Director and Managing Director and those cars were generally not used in providing services for earning foreign exchange which is not a situation in the case of the Appellants. 5. The ld. SDR fairly concedes that there is some difference between the facts of the case of Kumarkam Lake Resorts (supra) and the facts in the present case. However, he still feels that the foreign exchange realisation cannot be attributed exclusively to the use ..... X X X X Extracts X X X X X X X X Extracts X X X X
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