EOUs / EPZ / EHTP / STP Units- Reliefs in Execution of B-17 Bond

B-17 bond requirements revised: bond linked to duty on sanctioned capital goods and raw material stock; surety or approved security accepted.

Execution of the B-17 bond for EOUs, EPZ, EHTP and STP units is limited to the duty on sanctioned imported and indigenous capital goods plus duty on raw materials held in stock for six months, with the unit certifying the calculation. Units must furnish either surety for that revised bond amount or an approved security equal to five percent of it; solvency of sureties may be certified by a Chartered Accountant or the surety's banker. Directors may stand as personal sureties and corporate bodies may also act as sureties.