Interim directions modified for imported newsprint release against 30% differential customs duty bank guarantee, expedite adjudication

SC modified the HC's interim directions regarding clearance of imported newsprint subject to differential customs duty. Recognizing the perishable nature of the goods, SC directed that the goods be released to the importers upon furnishing a bank guarantee equivalent to 30% of the differential duty, to the satisfaction of the Commissioner of Customs, instead of a 20% bond as ordered by HC. SC further ordered that release be effected immediately upon furnishing the guarantee and instructed the Commissioner of Customs to conclude the pending adjudication proceedings expeditiously.

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Issues involved: Appeal against High Court order directing clearance of goods on furnishing a bond, contention on the amount of bond, nature of goods being perishable newsprint, direction on bank guarantee percentage, timeline for adjudication proceeding.

Analysis:
1. The appeal was filed against a High Court order directing the clearance of goods upon furnishing a bond of 20% of the differential duty. The appellants argued that the bond amount was insufficient.

2. The Supreme Court, after considering the circumstances and noting the perishable nature of the goods (newsprint), directed that the goods be cleared upon the respondents furnishing a bank guarantee of 30% of the differential duty to the satisfaction of the Commissioner of Customs.

3. The Court ordered the immediate release of the goods upon furnishing the bank guarantee and satisfaction of the Commissioner of Customs. Additionally, the Commissioner of Customs was directed to expedite the adjudication proceeding, preferably within three months from the date of the order.

4. The appeal was disposed of in accordance with the new directive on the bank guarantee percentage. The Court clarified that its order did not express any opinion on the merits of the dispute, leaving it to be independently considered by the competent authority.

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