TaxTMI 
TaxTMI 
2019 (5) TMI 832
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....to the petitioner alternatively to redeem the goods for the limited purpose of re-export to the supplier, the importer has come up with the above writ petition. 2. Heard Ms. V. Deepthi Anand, learned counsel for the petitioner and Smt. Sundari R. Pisupati, learned Senior Standing Counsel for the respondent. 3. Under a bill of entry dated 31.10.2017, the petitioner imported 8000 kgs., of a product, by name, "MOREKING", which is described to be a plant growth regulator, along with 2500 kgs., of another product, purportedly for home consumption. The petitioner also applied for a no objection certificate from the Central Insecticides Board, for the clearance of the goods. But, till date no order has been passed on the same. 4. Therefor....
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....nd hence, they cannot go back on the same; that the goods in question cannot be imported by a person who is not registered and hence, the import by an unregistered person will tantamount to the import of prohibited goods. 11. We have carefully considered the above submissions. 12. It is no doubt true that the petitioner offered to re-export the goods, in view of the circumstances in which they were placed. By the time an order was passed giving them an option to pay fine and reexport the goods, the supplier seems to have taken a different position. It is seen from the papers that the petitioner also made attempts to reexport the goods. This is why they sought extension of time by three months. But, the supplier seems to have rejected ....
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....ction 2(33) of the Customs Act, 1962. 16. Chapter 38 in Schedule - I - Import Policy 2017 deals with "Miscellaneous Chemical Products." The Table under Schedule - I in Chapter 38 of the Import Policy contains four columns, the first giving the Exim Code, the second column giving the description of goods, the third column indicating the policy and the fourth column indicating the policy conditions. Plant growth regulators are found under Exim Code No.3808 93 40. The policy with regard to plant growth regulators is indicated as "free" in column No.3, showing thereby that they are freely importable. But, column No.4 as against plant growth regulators reads as follows: "If registered and not prohibited for import under Insecticides ....
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....ry provisions of the Foreign Trade Act and Section 125 of the Customs Act will therefore not detract from the redemption of such restricted goods imported without authorization upon payment of the market value. There will exist a fundamental distinction between what is prohibited and what is restricted. We therefore, find no error with the conclusion of the Tribunal affirmed by the High Court that the Respondent was entitled to redemption of the consignment on payment of the market price at the reassessed value by the customs authorities with fine Under Section 112(a) of the Customs Act, 1962." 19. In fact, the entry in the Table under Schedule - I of Chapter 38 of the Import Policy, 2017, relating to Exim Code 3808 93 40 dealing with pl....
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....ated under Section 113 (D). The question before the Supreme Court was whether they were "prohibited goods" since the export was contrary to restrictions imposed under the Act. The Supreme Court held that if the conditions are not fulfilled the goods may be branded as prohibited goods. 22. The decision in Om Prakash Bhatia was followed by the Supreme Court in Commissioner of Customs, New Delhi v. Brooks International (2009) 10 SCC 396. In fact, the issue that arose in the said case was whether goods whose market value is much less than the amount of duty drawback claimed, could be confiscated for violation of the provisions of the Customs Act, 1962. The Court followed the decision in Om Prakash Bhatia. 23. In Gurucharan Singh v. Direct....
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....e freely importable, subject however to registration. Therefore, the requirement of registration becomes a restriction on the free import, as held in Brooks International. 25. Under Section 3 of the Foreign Trade (Development and Regulation) Act, 1992 (for short 'Foreign Trade Act') the Central Government is entitled to pass orders making provisions for prohibiting, restricting or otherwise regulating the import or export of goods. Section 3 (3) of the Foreign Trade Act declares that once an order is passed under Section 3 (2) prohibiting, restricting or otherwise regulating the import or export of goods, the goods would be deemed to be prohibited under Section 11 of the Customs Act, 1962. 26. Under Section 11 (1) of the Foreign Trade....