EPCG entitlement requires DGFT verification of export documents; omission of licence number in shipping bills is not ative.

Entitlement to EPCG benefits depends on verification by the competent licensing authority of compliance with scheme conditions and supporting export evidence; the mere omission of the licence number in free shipping bills is not conclusive. The Madras High Court therefore left the matter for fresh determination by the DGFT, directing it to examine the export documents, hear the petitioner, and decide the claim on merits after completing the enquiry.

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Issues: Whether the petitioner was entitled to EPCG benefits despite non-mention of the licence number in free shipping bills, and whether the entitlement claim should be decided by the DGFT after verification of the export documents.

Analysis: Entitlement under the EPCG Scheme is not automatic and must be established through verification of the relevant documents and supporting evidence. Mere mention or non-mention of the licence number on shipping bills is not conclusive by itself. The competent licensing authority, namely the DGFT, must examine whether the exports and documents satisfy the scheme requirements before the benefit can be confirmed. Since show cause proceedings were still pending, the controversy could be resolved by directing the authority to complete the enquiry and decide the claim on merits for all licences.

Conclusion: The petitioner was not granted EPCG relief straightaway, and the matter was left for fresh determination by the DGFT after hearing the petitioner and verifying entitlement.

Ratio Decidendi: Entitlement under the EPCG Scheme depends on verification by the competent authority of compliance with the scheme conditions and supporting evidence, and cannot be granted merely on the basis of a claimed procedural lapse or assertion of export fulfilment.

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