2011 (3) TMI 455 - HC - Customs

Court Orders Prompt Decision on Customs Conversion Application

ALTRAFINE GUMS Versus UNION OF INDIA

The Court directed the Commissioner of Customs, Kandla, to decide on the conversion application within six weeks, emphasizing the duty to adjudicate ... Shipping bills - Conversion of shipping bills to DEPB shipping bills - Held that:- Once an application is made to the Commissioner, he is required to consider the same in accordance with law and decide the same one way or the other - Thus, the petition is disposed of with a direction to Commissioner of Customs, Kandla, to decide the application made by the petitioner for conversion of free shipping bills to DEPB shipping bills (Annexure A to the petition), in accordance with law within a period of six weeks from today, after giving reasonable opportunity of hearing to the petitioner. Issues involved:Petition under Article 226 seeking conversion of free shipping bills to DEPB shipping bills, delay in decision by Commissioner of Customs, duty of Commissioner to decide the application, relief sought for in the petition.Analysis:The petition filed under Article 226 of the Constitution sought various reliefs, primarily focusing on directing the respondents to permit the conversion of free shipping bills to DEPB shipping bills. The petitioner also requested the issuance of DEPB licenses based on the converted shipping bills or those already filed, irrespective of the deadline. Additionally, the petition asked for the computation of DEPB entitlement and the processing of conversion applications in line with relevant circulars.During the hearing, the petitioner's advocate highlighted the pending application for conversion submitted to the Commissioner of Customs, Kandla. The respondents did not contest the fact that the application remained undecided. It was acknowledged that once an application is made, the Commissioner is obligated to review and make a decision within the confines of the law.The Court refrained from delving into the merits of the arguments presented by both parties. Given the petitioner's application for conversion, the Court emphasized the duty of the Commissioner to adjudicate on the matter. Consequently, the judgment directed the Commissioner of Customs, Kandla, to decide on the conversion application within six weeks, following a fair hearing for the petitioner. The ruling concluded by discharging the rule with no costs imposed.In conclusion, the judgment addressed the delay in deciding the conversion application, emphasizing the Commissioner's obligation to render a decision promptly. The Court's directive aimed to ensure the timely resolution of the petitioner's request for the conversion of shipping bills, underscoring the importance of adherence to legal procedures in such matters.