Amendment in Shipping Bill possible if evidence substantiating change existed at the time of exports.

PJ/Case Law/2013-14/1678

Case:-COMMISSIONER OF CUS. (EXPORT), NHAVA SHEVA Versus S.K. AGE EXPORTS

Citation:-2013 (290) .107 (Tri- Mumbai)

Brief facts:-Material facts of this case are that firstly appellant filed the condonation of delay application for condoning the delay of 118 days in filing the appeal. The delay is due to misplacement of the file and it took some time for the department to trace the file. Considering the reasons given for the delay as satisfactory, the delay is condoned and the appeal is admitted.
The respondent herein as M/s. S.K. Age Exports had sought amendment in shipping bill No. 2534417, dated 14-1-2004 for correcting the Advance Licence Number mentioned therein on the ground that the Advance Licence No. 0310237221, dated 19-11-2003 had been wrongly mentioned. The said advance licence had already been closed by the DGFT. The mistake had come to light during the Internal Audit. In lieu of the said advance licence, the exporter M/s. S.K. Age Exports wanted to mention Advance Licence No. 0310201208, dated 9-5-2003. Accordingly, they filed an application under Section 149 of the Customs Act, 1962 for amendment of shipping bill. The said request was rejected by the lower adjudicating authority on the ground that necessary documentary evidence was not submitted. The respondent preferred an appeal before the lower appellate authority, who allowed their appeal. The Revenue is aggrieved of the same and preferred this appeal.

Appellant’s contention:- The learned Superintendent (AR) appearing for the Revenue contented the only ground that as the exporter did not submit the invoices initially at the time of claim for amendment and therefore, their claim merits rejection.

Respondent’s Contention:- The learned Advocate appearing for the respondent contented that under Section 149 of the Customs Act, the exporter is entitled to amend the shipping bill even after the goods have been exported on the basis of documentary evidence, which was in existence at the time the goods were cleared, deposited or exported, as the case may be. In the instant case, the Advance Licence dated 9-5-2003 and the relevant export invoices were in existence when the shipping bill was filed on 14-1-2004 vide shipping bill No. 2434417. Therefore, the respondent cannot be denied the benefit of amendment under Section 149.

Reasoning of Judgment:-The bench aftercarefully considering the rival submissions quoted that under Section 149 of the Customs Act, 1962, wherein the proper officer has been given the discretion to authorize any document, after it has been presented in the Custom House to be amended. In the case of shipping bill, the amendment can be carried out even after the goods have been exported on the basis of evidence, which was in existence at the time the goods were exported. The lower appellate authority in the impugned order has given a clear and categorical finding that “in the instant case, the existence of valid Advance Licence No. 031201208, dated 9-5-2003 with the appellant in which the shipment could have been made is not under any dispute. Thus, there appears no impediment in permitting the only amendment sought in the shipping bill i.e. of amending the Advance Licence number.”. For amending the shipping bill, the only condition is that the document should have been in existence at the time the original exports were carried out. That is not disputed. Therefore, the respondent is rightly entitled for amendment of the shipping bill. Thus, Tribunal did not find any merit in the Revenue’s appeal and the same is dismissed.

Decision:-Appeal dismissed.

Comment:-The substance of this case is that section 149 of the Customs Act permits amendment in the shipping bill if the evidence supporting amendment existed at the time when the goods were exported. As the Advance License number sought to be amended existed at the shipment of goods, there was no bar in amending the same in the shipping bill.

Comments

PJ/Case Law/2013-14/1678

Post a Comment

Query