https://www.taxtmi.com/caselaws?id=51825 A conditional customs exemption was unavailable where imported bulk drugs were not used in the importer's registered factory and were instead diverted to other manufacturing units on a loan licence basis. The procedure under the 1996 Rules was treated as requiring end-use in the registered factory, and breach of that condition exposed the goods to duty, confiscation and penalty. The customs authorities' power to issue notice and proceed under the Customs Act was not excluded by the Rules, and action for duty demand and penalty remained available on breach of import conditions. On the facts, confiscation and redemption fine were set aside and the penalty was reduced. en-us Tue, 21 Jan 2003 00:00:00 +0530 Tue, 28 Sep 2010 16:33:27 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=51825 A conditional customs exemption was unavailable where imported bulk drugs were not used in the importer's registered factory and were instead diverted to other manufacturing units on a loan licence basis. The procedure under the 1996 Rules was treated as requiring end-use in the registered factory, and breach of that condition exposed the goods to duty, confiscation and penalty. The customs authorities' power to issue notice and proceed under the Customs Act was not excluded by the Rules, and action for duty demand and penalty remained available on breach of import conditions. On the facts, confiscation and redemption fine were set aside and the penalty was reduced. Case-Laws Customs Tue, 21 Jan 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=51825