Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Customs Act 1962 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | .Customs Act, 1962 - s. 18(b) - Customs duty -Exemption - Notification no. 35190, 36190 and 23191 whereincoking coal having Ash content below 12% exempted frombasic customs duty that was in excess of 5% - Assesseeengaged in the manufacture of soda ash and coke, importedconsignment of Low Ash Metallurgical Coal -At the time ofshipment, inspection agency did detailed sampling followingthe British Standards equivalent to IS standards and as perthe independent agency report moisture content was 7. 2%and Ash content of the coking coal was 9. 8% - On arrival ofsamples, the Customs Inspector without objecting to theaforesaid report, drew its own samples in absence of anyrepresentative of the assessee and in contravention of ISstandards - Reports by Department test agency that Ashcontent in the samples was more than 12% - Demand ofdifferential duty by the Department- Denial of exemption ofcustoms duty in terms of the Notification- Tribunal upholdingthe demand of duty on the ground that even though thesamples were drawn contrary to law, assessee would beestopped because their representative was present when thesamples were drawn and they did not object immediately -On appeal, held: Entire chemical analysis of the importedgoods done by the Department was ultra vires s.18(b) -Expressions "deems it necessary" u/s. 1 B(b) does not meanthe subjective satisfaction or arbitrary power of the officerconcerned - It has to be exercised in accordance with the restraints imposed by law- If the law requires that somethingbe done in a particular manner, it must be done in thatmanner, and if not done in that manner it has no existence inthe eye of law at all - Thus, the Customs Authorities notabsolve from following the law depending upon the acts of a particular assessee - Order passed by the tribunal set aside.. |
Judge | Hon'ble Mr. Justice R.F. Nariman |
Neutral Citation | 2015 INSC 411 |
Petitioner | M/s. Tata Chemicals Ltd. |
Respondent | Commissioner Of Customs (preventive) Jam Nagar |
SCR | [2015] 7 S.C.R. 132 |
Judgement Date | 2015-05-14 |
Case Number | 7439-7440 |
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