TaxTMI 
TaxTMI 
2008 (7) TMI 221
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....e D. A. Mehta. Hence, after the permission of Hon'ble the Acting Chief Justice, it was mentioned before this Court at about 12.00 O'clock to take up these matters. Since this Court was taking up other matters allotted to them and in second sitting, the Bench is not available, the Court decided to reassemble at about 16.00 O'clock and accordingly, both the matters were taken up for hearing. The hearing lasted up to 17.45 p.m. and after hearing the learned advocates appearing for the respective parties, the Court has issued rule and notice as to interim relief was issued making it returnable on 01.08.2008. This Court has also granted ad-interim relief in terms of paragraph 28 (C)(ii) till then. However, for paucity of time, reasons were not g....
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....R, in each of these petitions. By way of an interim relief, the petitioners have prayed for suspension of the operation and implementation of letters dated 30.06.2008, 08.07.2008 and 09.07.2008 of the respondents and directing them to continue the arrangement regarding supply of goods to the SEZ unit as contained in the letter dated 01.02.2008 at Annexure F to the petition. Alternatively, the petitioners have prayed for stay against respondent No.4 restraining him from refusing admission / entry of goods supplied by the petitioner being a Domestic Tariff Area Unit, to the SEZ unit of Essar Steel Limited only on the ground of non-payment of export duty. 4. Mr. Harin P. Rawal, learned Assistant Solicitor General appearing for the respondent....
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....rtue of any law other than this Act. Based on these provisions of the Act, Mr. Raval has submitted that supply of goods by a Unit in the Domestic Tariff Area to a Unit in the Special Economic Zone attracts levy of duty of customs being export duty specified in the Export Tariff in the Special schedule to the Customs Tariff Act 1975 read with Section 12 of the Customs Act, 1962. Such a levy cannot be challenged in petitions filed under Article 226 of the Constitution of India and hence, the petitions are not maintainable. 5. Mr. Raval further submitted that even if it is argued that the petitions are maintainable, no stay can be granted against levy of tax. In support of this submission, he relied on the decision of the Hon'ble Supreme Cou....
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.... be levied at such rates as may be specified under [the Customs Tariff Act, 1975 (51 of 1975)], or any other law for the time being in force, on goods imported into, or exported from, India. It is, therefore, submitted that no goods are imported into or exported from India. The Court's attention is further invited to the provisions of Rule 27 of the Special Economic Zones Rules, 2006. Sub-rule (1) of Rule 27 says that "Unit or Developer may import or procure from the Domestic Tariff Area without payment of duty, taxes or cess ............" 7. Based on the aforesaid provisions of the Customs Act and since there is no specific provision under the SEZ Act to levy customs duty and since there is no corresponding amendment in Section 12 of the ....
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....e a Special Economic Zone) to a Special Economic Zone inside India and on perusing of the petition and the affidavit filed in support thereof and upon hearing the arguments of the learned counsel appearing for the petitioner, the Court granted interim injunction for two weeks on 17.07.2008. The case of the petitioners is also identical with the case of M/s. Advait Steel Rolling Mills Private Limited and similar levy of customs duty is challenged in the present petitions. Based on this interim order, the learned Senior Counsels appearing for the petitioners have requested the Court to grant the interim relief as prayed for in the petitions. 10. One more submission is made on behalf of the petitioners that the petitioners are not asking for....