Advance Authorization Scheme cancellation case remanded to Commissioner for fresh consideration of scheme code conversion

The Bombay HC disposed of a writ petition regarding cancellation of Advance Authorization Scheme for duty-free imports and recovery of demand duty. The petitioner sought conversion of shipping bill from one scheme code to another, claiming bona fide mistake in entering wrong scheme code. The HC directed the petitioner to raise all contentions before the Commissioner of Customs NS-II, who must decide after considering applicable legal principles. The Commissioner was instructed to consider granting benefit if satisfied there was inadvertent error and statutory compliances were met.

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Issues involved:
The issues involved in this case include a petition filed for writs of certiorari and mandamus under Article 226 of the Constitution of India, seeking relief from a letter issued by a customs authority demanding customs duty, and requesting amendment of shipping bills to correct a mistake in the scheme code.

Details of the Judgment:

Issue 1: Writs of Certiorari and Mandamus
The petitioner filed a petition seeking writs of certiorari and mandamus under Article 226 of the Constitution of India, challenging a letter demanding customs duty. The petitioner had received foreign remittances during a specific period and subsequently received a demand for customs duty. The petitioner requested to amend the shipping bills due to an error in the scheme code. The court noted that a personal hearing was granted to the petitioner by the Commissioner of Customs NS-II. The court directed the Commissioner to consider the petitioner's contentions and pass a reasoned order, keeping all contentions open for further review. The court instructed the Commissioner to grant a fresh personal hearing to the petitioner and pass an order within four weeks from the date of the court's order.

Issue 2: Amendment of Shipping Bills
The petitioner had addressed letters and applications to various respondents requesting an amendment in the shipping bills due to an error in the scheme code. The court acknowledged the petitioner's contention that the request for amendment was made in good faith to correct a mistake made by their staff. The court emphasized the need for the Commissioner of Customs NS-II to consider granting the benefit to the petitioner if all statutory compliances were met. The court directed the petitioner to appear before the Commissioner with a copy of the court's order for further proceedings.

Conclusion:
The High Court of Bombay disposed of the writ petition, directing the Commissioner of Customs NS-II to review the petitioner's case, grant a fresh personal hearing, and pass a reasoned order within four weeks. The court kept all contentions open for further examination and instructed the petitioner to appear before the Commissioner on a specified date. No costs were awarded in this matter.

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