TaxTMI 
TaxTMI 
2016 (1) TMI 511
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....e same goods which were imported by them vide BE dated 20.8.2009. The Assistant Commissioner rejected the request, both under Section 149 of the Customs Act, 1962 and under Section 154 of the Customs Act, 1962. He also relied on the Circular 4/2004 dated 16.1.2004 wherein the CBE&C has advised that such conversion should not ordinarily be allowed. The said circular advised as follows 3.2 As regards permitting conversion of free shipping bills into Advance Licence/DEPB/DFRC shipping bills is concerned, it is true over a period of time, with liberalization having been ushered in the Customs administration, clearance of goods is being permitted mostly on the basis of self-declaration made by the exporters on the shipping bills. Such s....
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....porter is fulfilling all conditions of the Export Promotion Scheme into which he is seeking conversion. (e) The exporter has not availed benefit of the export promotion Scheme under which the goods were exported and no fraud/misdeclaration/manipulation/investigation is initiated against him in respect of such exports. The appellant agitated before the Commissioner (Appeals) who upheld the order of the Assistant Commissioner of Customs on the ground that while the said Board Circular No. 4/2004 dated 16.1.2004 puts some restriction on allowing the conversion of free shipping bills to drawback shipping bill, it also gives discretion to Commissioner to examine individual records on merits and facts in terms of Rule 12(1)(a) o....
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....ms Act. He further argued that the export of import goods is not disputed and that the appellant fulfilled all conditions of drawback under Section 74 of the Customs Act. He argued that the imported goods can be identified as the goods which were exported are detailed in packing list/invoice filed with the Bill of Entry/shipping bills at the time of export. The subject goods were exported within two years from the date of importation. He further relied on following citations: - (i) Nucleus Satellite Communications Pvt. Ltd. Vs. Commissioner of Customs, Sea Port, Chennai - 2007 (216) ELT 67 (Tri-Chennai) (ii) Cargill India Pvt. Ltd. Vs. Commissioner of Customs. Vishakhapatnam - 2010 (258) ELT 298 (Tri-Bang) ....
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....ods is significantly different in case of free shipping bills. In case of free shipping bills there is no examination of goods at the docks whereas in case of export the claim of drawback of over Rs. 1 lakh, 10% of the export consignment needs to be physically examined. In any case, he argued that exported goods have to be compared and identified with the imported goods to the satisfaction of Commissioner, in case the shipping bill under Section 74 is filed. 4. We have considered the rival arguments. 4.1 The primary issue to be decided is whether the amendment under Section 149 can be made in respect of free shipping bills to drawback shipping bills. It is noticed that Circular 4/2004 and 36/2010 do not disallow such conversion but on....