Ambara Exports Vs Deputy Commissioner of Customs (Madras High Court)
Conclusion: Since assessee was not allowed an opportunity to present all Bank Realization Certificates (BRCs) for the concerned shipping bills and produced documents before the authorities to substantiate that they were not liable to return the drawback amount. The Court quashed the impugned order and remanded the matter to the Deputy Commissioner of Customs for fresh consideration on merits
Held: In the instant case, for recovery of the availed drawback amounting to Rs.3,76,447/- against shipping bills mentioned in table-I and penalty was imposed of Rs. Rs.19,000/- on assessee as per the provisions of Section 117 of the Customs Act, 1962. Assessee contended that they had never received any notice from the authorities prior to the order and that all communications were sent to their old address, despite their current address being different. They also claimed to possess all Bank Realization Certificates (BRCs) for the concerned shipping bills and produced documents before the Court to substantiate their claim. It was held that as per the principles of natural justice, assessee was allowed an opportunity to present these documents before the authorities to substantiate that they were not liable to return the drawback amount. The Court quashed the impugned order and remanded the matter to the Deputy Commissioner of Customs for fresh consideration on merits and after granting assessee a proper hearing. Assessee had been permitted to produce all relevant documents, including the BRCs, during the fresh proceedings. The bench also directed that final orders be passed within three months from the receipt of the order.
