TaxTMI 
TaxTMI 
2009 (2) TMI 330
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....nai had re-exported confectionery under 18 shipping bills. The exporter had claimed drawback amount of Rs. 63,84,097/- under Sec. 74 of Customs Act, 1962. Case of the Petitioner is that goods were re-exported due to the reason that the super confectionery were not able to withstand the Indian climatic conditions and at the time of export, the officers who examined the cargo have opined that the identity of the goods cannot be established or the market value was less than the drawback claimed in respect of 5 shipping bills and identity was established but market value less than the drawback claimed in respect of remaining 13 shipping bills. After hearing, by the order dated 23-4-2003, the Asst. Commissioner of Customs (DBK) rejected the supp....
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....espect of 5 shipping bills, the examination report reveals that the identity of the goods has not been established with reference to the import Bill of Entry and the goods have no market value based on the condition of the goods. According to the Respondents, the lower authority recorded that the exporter has accepted the fact of non-marketability of the goods in India. According to the Respondents, since the identity of the goods is the prime criteria for claims of drawback under Sec. 74 of Customs Act, the Commissioner (Appeals) and the Ministry have rightly rejected the drawback claims in the remaining 5 cases. 6. Mr. S. Ignatius, learned counsel for the Petitioner submitted that 2nd Respondent failed to note that some evidence applic....
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....s of the Government. 9. Sec. 74 comes into operation when the articles which are imported or re-exported and such articles are easily identifiable. For claiming drawback under Sec. 74, the following are the requirements :- (i) The goods on which drawback is claimed must be imported earlier; (ii) Import duty should have been paid when imported; (iii) Goods must be entered for re-export within two years from the date of payment of import duty. The period of two years can be extended up to three years by the Board or by the Commissioner of Customs; (iv) Goods must be actually exported out of India after their import; (v) Goods must be capable of being identifiable at the time of export, as the same goods which was earlier imported; and (vi)....
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....plicable to 13 consignments would be applicable to the remaining 5 consignments also. 13. It is not question of label - Van Melle Confectionery India Pvt. Ltd., containing registered office of the Petitioner; but it was the question of identity. After thoroughly examining the matter, 2nd Respondent has observed that the identity of 5 consignments have not been established with reference to the import Bill of Entry and the examination report indicated that the goods have no market value based on the condition of the goods. 14. Sec. 74 of the Act permits re-export of duty paid imported goods which had been capable of being easily identifiable of payment of drawback for 98% of duty paid at the time of importation. The conditions under wh....
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....he 3rd Respondent/Asst. Commissioner rejected the value for drawback under Sec. 74 of Customs Act by holding the reason viz., that the product became "sticky due to climatic conditions" has rendered it to be a scrap value. Learned counsel would further submit that the Asst. Commissioner rejected the drawback claim mainly on the ground that the goods were not marketable. It was further submitted that 3rd Respondent had not recorded any finding regarding identity of the goods against which no appeal was preferred by the department. Learned counsel would further submit that when the Asst. Commissioner had not recorded any finding regarding identity of the goods, 2nd Respondent/Commissioner (Appeals) ought not to have entered into the area of i....