2024 (10) TMI 409 - HC - Customs

Court Orders Reexamination of 185 EDI Shipping Bills; Fresh Assessment on MEIS Rewards to Be Completed in 12 Weeks.

Bosch Ltd. Versus Director General Of Foreign Trade & Anr.

The HC directed the respondents to reexamine 185 EDI shipping bills, treating the petitioner's submissions as 'Yes' for MEIS rewards. The court mandated a ... Seeking benefit under MEIS Scheme - goods exported under Shipping Bills - Petitioner submits that the Petitioner is entitled to reward under MEI Scheme in respect of various notified products that it has exported - HELD THAT:- The grievance of the Petitioner is that despite being eligible, it is not getting benefit under the MEI Scheme in the sum of Rs. 47,10,685.38. It is the admitted case of the parties that in view of the inadvertent error the shipping bills have not been processed by Respondent No. 1. The Counter-Affidavit of Respondents also sets out that in view of the fact that the EDI shipping bills of the Petitioner were left blank and the electronic transmission in the automatic environment assumed the Shipping Bills ‘No’ and accordingly proceeded to reject the case. Given that the Respondents have not examined case of the Petitioner, in view of the inadvertent error, the Court deems it expedient to direct the Respondent to undertake the examination of the 185 EDI shipping bills of the Petitioner afresh, treating its submissions as a ‘Yes’ - The Respondent shall pass a Speaking Order to decide the entitlement of the Petitioner to the MEI Scheme rewards, in accordance with law, within a period of 12 weeks from today. Petition disposed off. Issues:Petition seeking benefit under MEIS Scheme; Alleged error in shipping bills affecting MEIS reward; Failure of authorities to process claims; Interpretation of MEI Scheme procedures; Court intervention sought for examination of shipping bills.Analysis:The petitioner filed a petition seeking benefits under the Merchandise Exports from India Scheme (MEIS) amounting to a specific sum. The grievance arose from an alleged error in the processing of shipping bills, which resulted in the rejection of payments under the MEIS Scheme by the respondents. The petitioner contended that the omission of a crucial entry by the Customs Broker led to the default recording of 'No' in the EDI system, preventing the processing of MEIS rewards. Despite applying for an amendment and obtaining a no objection certificate, no action was taken by the authorities, exacerbating the issue.The respondents, in their counter-affidavit, maintained that entitlement to MEIS rewards is contingent upon strict adherence to the prescribed procedures, including marking 'Y' for Yes in shipping bills. They cited a public notice mandating this requirement. The court acknowledged the inadvertent error in the processing of shipping bills, which led to the rejection of the petitioner's claims. Consequently, the court directed the respondents to reexamine the 185 EDI shipping bills of the petitioner, treating their submissions as a 'Yes'.The court ordered a fresh examination of the shipping bills, allowing the petitioner or their representative to present relevant documents and clarifications. The respondents were instructed to issue a speaking order deciding the petitioner's entitlement to MEIS rewards within 12 weeks, in compliance with the law. Additionally, the speaking order was to be communicated promptly to the petitioner via postal service and email. The court disposed of the petition and all pending applications, leaving all rights and contentions of the parties open for further action based on the digitally signed copy of the order.