The Kerala High Court while granting the installment facility to pay Customs Duty held that the case cannot be reopened as a challenge to show cause notice was time-barred.
The petitioner is a hundred percent export unit. The unit was given permission for exporting buffalo meat and tapioca to gulf countries. According to the appellant, he could be banned from the export of buffalo meat. The appellant was also granted a private bonded warehouse license for processing the export of buffalo meat and tapioca without payment of duty based on the terms of the letter of permission. The appellant had imported capital goods that were eligible for exemption from customs duty due to the export commitment of the appellant. Since the appellant did not export and failed to fulfill the export obligation, the condition of import stood violated and a show-cause notice was issued to the appellant asking him why customs duty should not be imposed on him.
The appellant filed an appeal before the appellate authority which was rejected on the ground of delay and an appeal challenging the said order of the first appellate authority was also filed before the CESTAT. The said appeal was also dismissed. Challenges against the said order of the CESTAT before this court as well as the Apex Court were also dismissed. Thereafter, the first respondent has issued a demand notice to remit an amount of Rs.15,19,996/- along with appropriate interest. The said notice of demand was challenged in the Writ Petition.
The division bench of Justice S.V.Bhati and Justice Basant Balaji held that the appellate authority did not go into the merits of the case and dismissed the same on the ground of limitation. Since the said order has attained finality before the apex court, the appellant cannot reopen the merits of the case again before this court. Though the learned Single Judge has not entertained the Writ Petition, he had granted an installment facility to the appellant to discharge the liability in 12 monthly installments. The counsel for the appellant was not in a position to submit before this court whether the appellant has availed of the installment facility granted. “We are of the considered opinion that the learned Judge has rightly dismissed the Writ Petition without going into the merits as the same has become final at the hands of the appellate authority confirmed by the order of the apex court. Even though the learned Single Judge has not entertained the Writ Petition, the appellant was given an installment facility to wipe off the liability. We find that no interference is warranted to the judgment of the learned Single Judge and, hence the Writ Appeal is accordingly dismissed,” the court said.
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