Conditional SAD exemption fails for high sea sale imports when notification requirements and DEPB debit conditions are unmet.

Exemption from Special Additional Duty of Customs under the stated notifications is available only when the importer strictly satisfies all attached conditions. The commentary notes that the benefit was not extended to goods purchased on a high sea sale basis where the notification limited its scope, and the importer also had to comply with the prescribed declaration and DEPB debit requirements. If those conditions are not met, the exemption claim cannot be accepted and the levy remains applicable.

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Issues: Whether imported goods purchased on high sea sale basis were entitled to exemption from Special Additional Duty of Customs under the relevant exemption notifications.

Analysis: The exemption under Notification No. 34/98-Cus. dated 13-6-98, read with Notification No. 34/97-Cus. dated 7-4-97, was restricted by the stipulated conditions. The relevant entries did not extend the benefit to goods bought on high sea sale basis, and the importer was also required to satisfy the prescribed declaration and DEPB debit condition. As those conditions were not fulfilled, the claim to exemption could not be accepted.

Conclusion: The goods were not entitled to exemption from Special Additional Duty of Customs, and the levy was upheld against the assessee.

Ratio Decidendi: Exemption from Special Additional Duty of Customs is available only when the importer strictly satisfies the conditions attached to the exemption notification, and goods purchased on high sea sale basis are outside the exemption where the notification so limits its scope.

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