Integrated CNC Technologies Pvt. Ltd. Vs Appellate Authority & Zonal Additional Director General of Foreign Trade (Madras High Court)
The writ petition before the Madras High Court sought to quash the order dated 21.08.2024 passed by the second respondent and the appellate order dated 21.01.2025 passed by the first respondent. The petitioner also requested a direction to the authorities to provide an opportunity for personal hearing before passing any further orders.
The petitioner is a company engaged in the manufacture of machine parts for automobiles and other engineering industries. During the course of its business operations, the company obtained two Export Promotion Capital Goods (EPCG) authorisations dated 27.02.2008 and 27.06.2008. These authorisations enabled the petitioner to import capital goods at a concessional duty rate under the EPCG scheme. In return, the petitioner was required to fulfil an export obligation amounting to USD 217,461.36.
The petitioner submitted that it had not initially provided documents evidencing fulfilment of the export obligation to the licensing authority. As a result, the Director General of Foreign Trade issued a show cause notice dated 30.05.2019 with respect to the EPCG authorisation dated 27.06.2008. The petitioner responded to this notice by letter dated 11.03.2020 and enclosed documentary proof claiming that the export obligation had been completed.
