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2016 (3) TMI 611

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..... observed that once the customs duty was realized, the goods cannot be included in the Lot for fresh auction. The Writ Petition is filed in public law remedy. While exercising the power of judicial review is concerned with illegality, irrationality and procedural impropriety of an order passed by the State or a Statutory Authority, the remedy under Article 226 of the Constitution cannot be invoked for resolution of a private law dispute as contra-distinguished from a dispute involving public law character. The petitioner cannot force the 1st respondent to conduct an auction so as to recover the demurrage charges from the 2nd respondent, even though the 1st respondent does not have any control over the goods. - Decided against the petitioner .....

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..... fed with 10 lots of Light Melting Scrap weighing 258250 kgs and 2 Containers stuffed with 12 Coils of Prime Cold Rold Grain Oriented Electrical Steel Sheets respectively. The said containers arrived at Port of Chennai in the month of October 2014 and July 2013 and were brought into the Container Freight Station of the petitioner on 09.10,2014, 10.10.2014 11.10.2014 and 19.06.2013 20.06.2013. Though the containers arrived in October 2014 and July 2013, the 2nd respondent did not take steps to clear the Cargo within 30 days from the date of importation into India. Therefore, the petitioner issued a notice under Section 48 of the Customs Act to the 2nd respondent dated 06.11.2014 and 19.07.2013, stating that if the cargo is not cleared wit .....

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..... are not cleared within 5 days from the date of receipt of the said letters, the petitioner would be forced to auction the said goods. The 1st respondent issued the impugned orders dated 27.07.2015 and 15.07.2015 stating that the 2nd respondent had filed Bill of Entry dated 20.10.2014 and 07.07.2014 and paid the duty and once the customs duty was realized, the goods cannot be included in the Lot for fresh auction. 7. According to the petitioner, the demurrage charges for the Containers amount to ₹ 94,71,188/- (W.P.No.28224 of 2015) and ₹ 51,47,349/0 (W.P.No.28225 of 2015). 8. The learned counsel for the petitioner, in support of his contentions, relied upon the following judgment reported in 2008 (226) E.L.T. 169 (Del.) [As .....

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..... stoms Areas Regulations, 2009 wherein in Regulation 6(1)(f) it has been stated as follows: (f) no permit goods to be removed from the customs area, or otherwise dealt with, except under and in accordance with the permission in writing of the proper officer . 10. The learned counsel appearing for the 1st respondent submitted that the judgment relied upon by the learned counsel for the petitioner is not applicable to the present case as the judgment of the Delhi High Court pertains to the legality of the recovery of warehousing charges by the petitioner due to it from the auction of Sale Proceeds in terms of Section 63(2) of the Customs Act. In the instant case, the impugned Light Melting Scrap goods were not warehoused and the Elect .....

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..... respondent to conduct an auction so as to recover the demurrage charges from the 2nd respondent, even though the 1st respondent does not have any control over the goods. It is open to the petitioner to file a Civil suit before the appropriate Civil Court for the recovery of their demurrage charges and the 2nd respondent is at liberty to contest the same on merits. The judgment relied upon by the learned counsel for the petitioner is not applicable to the facts and circumstances of the present case. 12. In these circumstances, there is no merit in the Writ Petitions are liable to be dismissed. Accordingly, the Writ Petitions are dismissed. No costs. Consequently, the connected miscellaneous petitions are closed. - - TaxTMI - TMITax .....

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