https://www.taxtmi.com/caselaws?id=750754 The Madras HC dismissed a writ appeal challenging duty demand and penalties under the EPCG scheme. The appellant imported machinery at concessional customs duty rates but failed to fulfill export obligations. The court held that Rule 6(2)(b) of Foreign Trade (Regulation) Rules 1993 mandates execution of a bond for license compliance. Since the appellant received reduced customs duty benefits on the promise of bringing foreign exchange through exports but failed to meet obligations, it was liable for penalties. The court rejected the appellant's argument that bond conditions were void, finding them validly supported by statutory provisions. en-us Tue, 12 Mar 2024 00:00:00 +0530 Thu, 28 Mar 2024 21:27:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=750754 The Madras HC dismissed a writ appeal challenging duty demand and penalties under the EPCG scheme. The appellant imported machinery at concessional customs duty rates but failed to fulfill export obligations. The court held that Rule 6(2)(b) of Foreign Trade (Regulation) Rules 1993 mandates execution of a bond for license compliance. Since the appellant received reduced customs duty benefits on the promise of bringing foreign exchange through exports but failed to meet obligations, it was liable for penalties. The court rejected the appellant's argument that bond conditions were void, finding them validly supported by statutory provisions. Case-Laws Customs Tue, 12 Mar 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=750754