https://www.taxtmi.com/caselaws?id=91949 Imported inputs taken duty-free under an advance licence may be used for domestic replenishment where the export obligation has been met and the import policy conditions are substantially satisfied. The exemption condition against sale, transfer or diversion required prior permission, but on these facts the goods were not shown to have been diverted to third parties. Failure to obtain prior permission was treated as a procedural lapse rather than a substantive breach, so the contravention was only technical and did not justify confiscatory or penal action. The order dropping further proceedings was therefore sustained and the revenue challenge failed. en-us Wed, 04 Aug 1999 00:00:00 +0530 Sat, 22 Oct 2011 11:26:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=91949 Imported inputs taken duty-free under an advance licence may be used for domestic replenishment where the export obligation has been met and the import policy conditions are substantially satisfied. The exemption condition against sale, transfer or diversion required prior permission, but on these facts the goods were not shown to have been diverted to third parties. Failure to obtain prior permission was treated as a procedural lapse rather than a substantive breach, so the contravention was only technical and did not justify confiscatory or penal action. The order dropping further proceedings was therefore sustained and the revenue challenge failed. Case-Laws Customs Wed, 04 Aug 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=91949