National Rifle Association of India Vs Commissioner of Customs (CESTAT Delhi)
CESTAT Delhi held that exemption notification 146/94-Cus doesn’t state ‘Actual User’ condition. Accordingly, confiscation of imported arms and ammunitions is liable to be set aside.
Facts- The order dated 29.11.2013 passed by the Commissioner of Customs (Import & General) is assailed by the National Rifle Association of India in this appeal. In the impugned order, the Commissioner decided the proposals made in the show cause notice dated 28.9.2011 and denied the benefit of exemption Notification No. 146/94-Cus. dated 13.07.1994 (S.No.1) for the arms and ammunitions imported by the appellant during the period from November 2005 to December 2009 and consequently confirmed a demand of Rs. 3,45,35,591/- and imposed an equal amount as penalty u/s. 114A of the Customs Act, 1962. The impugned order is assailed both on merits and on limitation.
Conclusion- A plain reading of the notification nowhere shows that there is any “Actual User‟ condition. All that is stated is that the goods should be used for national or international championships or competitions. The notification does not say that the importer itself must use them for the purpose.
Held that there is, therefore, no violation of the exemption Notification 146/94-Cus by the appellant. The finding that the imported goods were liable to confiscation needs to be set aside.
