Additional duty of customs exemption denied, but goods released pending adjudication on furnishing a bank guarantee.

Entitlement to exemption from additional duty of customs under Notification No. 30/2004-CE was declined, following earlier writ orders on the same issue. The request for assessment of the Bill of Entry on that basis was therefore rejected. Limited relief was granted on the security issue: the goods were directed to be released pending adjudication on furnishing a bank guarantee for the full additional duty of customs, subject to the authority's satisfaction and keeping the guarantee alive until completion of the adjudication process.

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Issues: Whether the petitioner was entitled to assessment of the Bill of Entry by extending exemption from additional duty of customs under Notification No. 30/2004-CE dated 09.07.2004, and whether the goods were liable to be released pending adjudication on furnishing security.

Analysis: The prayer for allowing exemption from additional duty of customs under the notification was declined in view of the similar orders already passed in earlier writ petitions. The Court, however, granted consequential relief by directing release of the goods on the petitioner furnishing a bank guarantee for the entire value of the additional duty of customs, to the satisfaction of the authority concerned, to be kept alive until completion of the adjudication process.

Conclusion: The claim for exemption from additional duty of customs was rejected, but release of the goods was permitted subject to furnishing of a bank guarantee.

Final Conclusion: The writ petition succeeded only to the limited extent of securing release of the goods on furnishing security, while the substantive request for exemption was denied.

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