TaxTMI 
TaxTMI 
2002 (10) TMI 556
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....were also accompanied by requests for transfer of bonds from Vadinar to its private bonded warehouse at Jamnagar. The bill of entry were assessed and completed and the request order passed by the Commissioner of Customs permitting release of the goods. The request that was made to him for transfer of the goods to Jamnagar in bond was also accepted by him. The importer however did not proceed further with removal of the goods from Vadinar to Jamnagar for warehousing and by its letter dated 24-2-99 asked the Asst. Commissioner for substitution of the warehousing bill of entry by a bill of entry for home consumption. On the 26th Feb., the Asst. Commissioner granted this permission permitting substitution. The department appealed this order of ....
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....ed. He dismissed the contention of the department that liability for the payment of interest would have to be reckoned from the date of filing of the bill of entry for the reason that payment of duty irrespective of such bill of entry was not required. He therefore dismissed the appeal. This appeal by the department is against this order. 3. The ground urged before us are the same urged before the Commissioner (Appeals) that the bond provided in the Warehoused Goods Removal Regulations, 1963 provided under Section 67 of the Act had been executed. The goods have already been warehoused and the provision of section 46(5) permitting substitution of the bill of entry one type by another would not apply to goods already warehoused. It is....
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.... deposit of the goods in a warehouse when the provisions of Section 59 had been applied with. Sub-section 5 of Section 46 permits the proper officer to substitute a bill of entry for home consumption for a bill of entry for warehouse or vice versa. 6. We will now consider the grounds in the department's appeal. These are that, since the requirement made by the importer of physical warehousing was waived by the Assistant Commissioner of Customs, Jamnagar, and bonds have been furnished by the importer as required in Section 67 of the Act, the goods have been warehoused for all purposes. The provisions of Section 45(7) of the Act which permits substitution of a warehousing bill of entry by home consumption and vice versa will not apply....
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....il difficulties for the importers/bonders, it has been decided that in deserving cases, the requirement of physical warehousing at the port of importation may be waived by the Assistant Collector of Customs subject to post facto approval of the Ministry. Quarterly statements may be sent for this purpose." 8. This letter and Paragraph 13 of the judgment of the High Court makes it clear that for provisions of Section 67 of the Act which governs movement of warehoused goods from one bond to another apply, it is necessary that the goods are first warehoused at the port of importation and then removed from that warehouse to another. In actual practice, however, the importer importing the goods at one port and desiring to deposit them in ....
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....7 or 58 as a warehousing stations. 9. The reason that the Commissioner (Appeals) advances, in his order that it is only the goods which have been deposited in a warehouse that can be considered to be warehoused since the goods in question were not so deposited, they cannot be considered to be warehoused goods is hence not universal application. The judgment in Sipta Coated Steel Ltd. v. Union of India has accepted the legality of the public notice issued by the Collector of Customs, requiring waiver of physical warehousing of the goods which were imported at Bombay and intended to be taken to a bonded warehouse outside Bombay. 10. However, in the course of hearing, it emerged that the Vadinar was not notified as a warehousin....