Legal principle

A Board circular cannot curtail the amendatory power under section 149 of the Customs Act, 1962 by imposing time limits or restrictions not contemplated in the parent statute, so a request for conversion of shipping bills cannot be rejected as time-barred solely by recourse to Circular No. 36/2010-Cus.

Court decision

The Tribunal set aside the rejection of the applications for amendment and directed the original authority to decide the matter afresh within the framework of section 149 of the Customs Act, 1962 on the propriety of the changes sought in the shipping bills, holding that the deadline in the CBEC circular is irrelevant per the settled position in Haldiram Foods International Pvt Ltd; the appeal was disposed of in the appellant's favour on remand, without itself deciding eligibility for conversion.

Facts

M/s Seco Tools India (P) Ltd filed 275 shipping bills between 22 September 2009 and 30 August 2011, incorporating details of three advance authorisation licences issued under the FTP, but overlooked changing the heading of the bills from 'free shipping bills' to scheme bills. After the export obligation was discharged, the Joint DGFT, Pune flagged the categorisation as a deficiency impeding redemption of the authorisations. By letter dated 19 March 2016, the appellant sought re-designation of the shipping bills under section 149 of the Customs Act, 1962. The Commissioner of Customs (Export), Air Cargo Complex, Mumbai rejected the request by Order-in-Original dated 24 May 2016 for non-compliance with Circular No. 36/2010-Cus dated 23 September 2010, which permitted conversion only on documentary evidence existing at the time of export and within three months of the 'let export order' (LEO).

Key provisions

• Section 149, Customs Act, 1962 — Amendment of documents
• Section 50, Customs Act, 1962 — Entry of goods for exportation
• Section 47, Customs Act, 1962 — Clearance of goods for home consumption
• Section 19, Customs Act, 1962 — Determination of duty where goods consist of articles liable to different rates of duty
• Section 46, Customs Act, 1962 — Entry of goods on importation
• Section 151A, Customs Act, 1962 — Instructions to officers of customs
• Section 2, Customs Act, 1962 — Definitions
• Section 75, Customs Act, 1962 — Drawback on imported materials used in the manufacture of goods which are exported