BORDER TRADE AND CHAMBER OF COMMERCE Vs. UNION OF INDIA AND 3 OTHERS

JUDGEMENT

(1.) The petitioner, said to be an Association of the persons engaged in export and import trade with Myanmar through Moreh Land Custom Station (Manipur), has questioned by way of this writ petition the directions issued by the Commissioner of Custom (Preventive), North Eastern Region, Shillong (respondent No.2), as contained in the letter dated 06.10.2016 (Annexure-6), whereby the members of the petitionerAssociation have been directed to furnish Bank Guarantee to the tune of 40% of the duty allegedly leviable in relation to the import of Areca Nuts/Betel Nuts. The contents of the said letter dated 06.10.2016, specifying the subject matter of this writ petition, are as under:-

(2.) It is submitted on behalf of the petitioner that the import of Areca Nuts (Betel Nuts), falling under Customs Harmonized System Code (HS Code) No. 08028010 and 08028020 of Customs Tarriff Act, 1975 from Myanmar under Notification No. 96/2008-Customs, dated 13.08.2008 (as amended), attracts NIL rate of Basic Customs Duty ("BCD?) without any condition; and accordingly, import was allowed by the respondents until first week of the month of September, 2016 but thereafter, the respondent No. 2 has directed, without any authority of law, that Bank Guarantee to the tune of 40% of the normal duty for import of the said goods be furnished. According to the petitioners, the said Notification dated 13.08.2008 (as amended) does not mandate any such Bank Guarantee for import of the goods covered under HS Code No. 08028010 and 08028020.

(3.) It is also submitted that the respondent No. 2 had earlier issued the clarifications/directions dated 20.01.2016, to the effect that the import of Areca Nuts (Betel Nuts) under HS Code No. 08028010 and 08028020 attracted NIL rate of BCD under the said Notification No. 96/2008-Customs dated 13.08.2008 (as amended) without imposing any condition. According to the petitioner, there is no change of facts or law but then, all of a sudden, different interpretation of the said exemption Notification with regard to Areca Nut (Betel Nuts) under HS Code 08028010 and 08028020, other than the meaning already assigned, is totally unwarranted, unlawful and is violative of Articles 19 (1) (g), 20 (2) and 301 of the Constitution of India.