Bonded facility misuse prompts mandatory stock verification, record reconciliation and targeted sampling to detect customs duty fraud. Misuse of the bonded facility involves CHAs substituting imported raw materials with valueless goods, using fabricated Bills of Entry to obtain illicit MODVAT credit, and depositing originals in warehouses. Field formations are directed to perform stock verification of bonded goods held beyond one year, reconcile Customs bond records with warehouse records, profile high-risk goods and importers, and conduct selective sampling of suspect cases, with progress to be reported to the Board.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Bonded facility misuse prompts mandatory stock verification, record reconciliation and targeted sampling to detect customs duty fraud.
Misuse of the bonded facility involves CHAs substituting imported raw materials with valueless goods, using fabricated Bills of Entry to obtain illicit MODVAT credit, and depositing originals in warehouses. Field formations are directed to perform stock verification of bonded goods held beyond one year, reconcile Customs bond records with warehouse records, profile high-risk goods and importers, and conduct selective sampling of suspect cases, with progress to be reported to the Board.
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