INTERNATIONAL TRACTORS LTD. Vs. COMMISSIONER OF CUSTOMS

JUDGEMENT

(1.) In this appeal filed by the appellants against the impugned order -in -original passed by the Commissioner of Customs, Amritsar, the issue relates to conversion of drawback shipping bill initially filed by the appellants at the time of export of the goods (tractors) to Zimbabwe and South Africa in January 2003, to DFRC scheme. The Commissioner has rejected the request of the appellants for this conversion of the ground that they were not forced to file initially the free shipping bill under the drawback scheme and as such. the conditions laid down in the Circular No. 6/03 -Cus dated 28.1.2003 did not stand satisfied.

(2.) I have heard both the sides and gone through the record. From the record, it is evident that the appellants are engaged in the manufacture of the tractors. They in January 2003 exported tractors to Zimbabwe and South africa. They filed the shipping bills under the drawback scheme. They requested for the drawback by sending their letter to the competent authority on 25.2.2003 (copy at page 72 of the paper book) But the same was declined to them on the ground that they had availed modvat credit on the inputs used in the manufacture of the goods in terms of Rule: 5 of the CENVAT Credit Rules 2003.

(3.) Thereafter, the appellants applied for the conversion of their shipping bills from drawback scheme to DFRC scheme. The Board's Circular referred above is quite clear in this regard and in para 4 of the above said circular, it has been clearly provided that the following two types of cases conversion of shipping bill may be allowed: