Documentary proof of export prevails when original ARE-1 is missing, and a duty demand cannot stand without evidence of clandestine removal.
Documentary evidence can prove export clearance even when the original ARE-1 is unavailable. Shipping bills, invoices, mate's receipts, bill of lading, foreign remittance confirmation, and an inspection report were accepted as corroborative proof of export, and a Board circular permitted use of attested or photocopied shipping bills for that purpose. In the absence of any evidence of clandestine removal or domestic clearance, a duty demand based only on presumption could not be sustained. The final effect was that the export stood established and the demand was set aside.
Issues: Whether export of the goods could be accepted on the basis of collateral and supporting documentary evidence despite non-production of the original ARE-1, and whether duty demand could be sustained in the absence of evidence of clandestine removal into the domestic market.
Analysis: The appellant produced shipping bills, invoices, mate's receipts, bill of lading, foreign remittance certificate, and an inspection report showing factory inspection before export. The documentary evidence supporting export was not challenged. The Board circular permitted acceptance of attested copy or photocopy of the shipping bill as proof of export. The Revenue produced no evidence of clandestine removal or domestic clearance, and the Assistant Commissioner himself had certified export of the goods.
Conclusion: The export was proved and the duty demand was not sustainable; the impugned order was set aside and the appeal was allowed.
Final Conclusion: Documentary proof of export can establish export clearance even where the original ARE-1 is not available, and a demand based only on presumption of domestic removal cannot survive without supporting evidence.
Ratio Decidendi: Where export is corroborated by reliable documentary evidence and there is no evidence of clandestine domestic clearance, absence of the original ARE-1 does not by itself defeat proof of export.
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AI Drafter ✕
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