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TMI Blog2019 (5) TMI 392X X X X Extracts X X X X X X X X Extracts X X X X ..... filed as per Section 68 (a) ibid will have to be done so by the transferee only. So also, the import duty, interest, fine and penalties that may be payable as per Section 68 (b) ibid would also be the liability of the transferee and not of the original owner of the goods. In this case, the appellant is the original owner of the goods and Shri. Ramesh Balasaheb Jagtap is the transferee. Hence, such import duty that is required to be calculated on the assessable value under Section 14 ibid is calculated with reference to the rate of exchange as in force on the date on which the Bill-of-Entry was filed under Section 46 (for Into-Bond warehousing). The rate of duty in case of goods cleared for a warehouse under Section 68 as per the provisions of Section 15 (b), will be that applicable on the date on which the Ex-Bond Bill-of-Entry for home consumption has been filed. The appellant cannot be saddled with the demand upheld in the impugned order - appeal allowed - decided in favor of appellant. - Customs Appeal No. 40144 of 2013 - FINAL ORDER NO. 40674/2019 - Dated:- 5-4-2019 - MR. MADHU MOHAN DAMODHAR, MEMBER (TECHNICAL) And MR. P. DINESHA, MEMBER (JUDICIAL) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d 28.10.2008 by executing a bond for sum equal to twice the amount of duty assessed on such in-bond purchase of warehoused goods, declaring correct exchange rate as well as disclosing relevant import duty too, thereby binding himself to Section 59, Sub-Section (1) (a), (b) and (c) of the Customs Act, read with Sub-Section (5) of Section 59 ibid, which is reproduced below : Where the whole of the goods or any part thereof are transferred to another person, the transferee i.e., In-Bond buyer of the warehoused goods shall execute a bond in a manner specified in Sub-Section (1) or Sub-Section (2) and furnish security as specified under Sub-Section (1) of Section 50 of the Customs Act, 1962. (iii) Although the In-bond buyer filed the Bill-of-Entry for home consumption as per Section 68 and declared the import duty payable in respect of such goods, an order for clearance of such goods for home consumption has been made by the proper officer, as per the warehousing Bill-of-Entry assessment order. The Proper Officer who is allowed said goods clearance, not factored due declaration furnished in Ex-bond Bill-of-Entry, despite In-bond buyer willing to pay t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... i. Ramesh Balasaheb Jagtap who is the person chargeable with the duty. The Department cannot levy Customs Duty on one importer and then demand duty that was short levied from the appellant. 4. On behalf of the respondent, Ld. AR Shri. M. Jagan Babu supported the impugned order. He further submitted that the assessment effected in the Warehouse Bill-of-Entry is final and except the rate of duty, the other parameters remain finalized. 5. Heard both sides and have gone through the facts of the case. 6.1 Section 14 of the Customs Act, 1962 lays down provisions for the valuation of imported goods. As per the third proviso to Section 14 (1), such price shall be calculated with reference to the rate of exchange as in force on the date on which a Bill-of-Entry is presented under Section 46 or a shipping bill of export, as the case may be, is presented under Section 50. 6.2 Section 46 ibid contains the provisions for filing of Bill-of-Entry for goods on importation. The first paragraph of the said Section reads as under : (1) The importer of any goods, other than goods intended for transit or transhipment, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lant herein. 8.2 The goods have been warehoused by the appellant and on such warehousing, a bond/security as mandated in Section 59 (warehousing bond) would surely have been submitted by the appellant. The bond was given by such appellant, inter alia, to comply with the provisions of the Act and the rules and regulations made thereunder in respect of the impugned goods. This being so, the liability to pay up the differential duty liability arising out of incorrect exchange rate adopted at the time of filing of Bill-of-Entry under Section 46 ibid., albeit for warehousing, would have fallen on the shoulders of the appellant if the said warehoused goods had been cleared by them for home consumption as per the procedure laid down in Section 68 ibid. 8.3 However, it is an undisputed fact that the goods after warehousing had been sold in Bond to one Shri. Ramesh Balasaheb Jagtap and that the Ex-Bond Bill-of-Entry No. 876548 dated 28.10.2008 was filed by the latter. In such circumstances, a different set of legal provisions will be applicable namely, as under : (i) As per the first proviso to Section 68, the owner of warehoused goods may, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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