The Chennai bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) allowed the request for the provisional release of the seized polyester-coated fabric on the ground of a bonafide request.
Ocean Sky Impex Private Limited, the appellant assessee was engaged in the import of “Polyester Coated Fabric (Polymeric Compound)” from a China-based company vide various commercial invoices.
The assessee appealed against the order passed by the Commissioner (Appeals) for rejecting the request for provisional release because the investigation was at a crucial stage and under process and therefore any decision on re-export of the goods at that stage would jeopardize the investigation.
Prem Ranjan Kumar, the counsel for the assessee contended that no Notice under Section 124(a) of the Customs Act,1962 had been issued, seizure of the goods was clearly without jurisdiction and illegal.
N. Satyanarayanan, the counsel for the department contended that the goods seized from the assessee attracting Anti Dumping Duty and the provisional release was not legally sustainable and the rejection was as per the law and liable to be sustained.
The Bench observed that the pleading of the assessee as to the acceptance by the foreign supplier on the wrong shipment as well as taking back the goods in question clearly shows the bona fides of the assessee, which are not at all doubted anywhere by the authorities.
The two-member bench comprising P Dinesha (Judicial) and Ajit Kumar (Technical) directed the adjudicating authority to allow the request for provisional release of the seized goods forthwith after taking suitable bond and Bank Guarantee.
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
