{"id":194858,"date":"2002-12-03T00:00:00","date_gmt":"2002-12-02T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/alpa-laboratories-vs-deputy-collector-of-customs-and-on-3-december-2002"},"modified":"2018-12-20T21:15:11","modified_gmt":"2018-12-20T15:45:11","slug":"alpa-laboratories-vs-deputy-collector-of-customs-and-on-3-december-2002","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/alpa-laboratories-vs-deputy-collector-of-customs-and-on-3-december-2002","title":{"rendered":"Alpa Laboratories vs Deputy Collector Of Customs And &#8230; on 3 December, 2002"},"content":{"rendered":"<div class=\"docsource_main\">Bombay High Court<\/div>\n<div class=\"doc_title\">Alpa Laboratories vs Deputy Collector Of Customs And &#8230; on 3 December, 2002<\/div>\n<div class=\"doc_citations\">Equivalent citations: 2003 (3) BomCR 427, 2003 (4) MhLj 498<\/div>\n<div class=\"doc_bench\">Bench: V Daga, J Devadhar<\/div>\n<\/p>\n<pre><\/pre>\n<p>JUDGMENT<\/p>\n<p> 1. In this petition, two  orders  passed  by  the<br \/>\nCustoms  authorities  under  Section  111(d)  of  the<br \/>\nCustoms Act read with Section 3 of  the  Imports  and<br \/>\nExports (Control) Act, 1947 seeking to confiscate the<br \/>\nimported  Oxytetracycline  Hydrochloride  have been<br \/>\nchallenged.  By the impugned orders, the  Petitioners<br \/>\nhave  been given the option to redeem the confiscated<br \/>\ngoods on payment of redemption fine of  Rs.1,65,000\/<br \/>\n( Rs.1,50,000\/ + Rs.15,000\/).\n<\/p>\n<p> 2. The  facts  relevant  for the present petition<br \/>\nare as follows:-\n<\/p>\n<p>  The   Petitioners   inter   alia   manufacture<br \/>\nOxytetracycline capsule for which  Oxytetracycline<br \/>\nHydrochloride is  a  raw  material.  On or about the<br \/>\n3rd February, 1989, the Petitioners  entered  into  a<br \/>\ncontract  with  a foreign supplier for import of 1000<br \/>\nkgs.  of Oxytetracycline Hydrochloride  (the  said<br \/>\ngoods for  short).    In  April  1989,  the  foreign<br \/>\nsupplier airshipped 100 kgs of the said goods and  on<br \/>\narrival  of  the  said goods, the Petitioners filed a<br \/>\nbill of entry on 6\/4\/1989, seeking clearance  of  the<br \/>\nsaid  goods  as  OGL  item,  being  raw material (not<br \/>\ncovered under Appendix 2,3,5 and 8) required for  the<br \/>\nmanufacture  of  the  drug Oxytetracycline Capsule.<br \/>\nAlternatively the Petitioners  claimed  clearance  of<br \/>\nthe  said goods as drug intermediate under the import<br \/>\nlicence bearing   No. 3192069  dated  27\/11\/1987  which<br \/>\nlicence  was  acquired  by  the  Petitioner  from the<br \/>\nmarket as it was freely transferable.\n<\/p>\n<p> For  all  the  aforesaid reasons, we hold that<br \/>\nthe Custom Authorities were justified in confiscating<br \/>\nthe  goods  imported  by  the  Petitioners   as   the<br \/>\nimportation  was  in  violation of the import policy.<br \/>\nThe Petitioners have exercised  option  of  redeeming<br \/>\nthe  goods  on  payment  of  redemption fine and have<br \/>\nobtained clearance of the  goods  under  the  interim<br \/>\norders of this Court, by furnishing bank guarantee to<br \/>\nthe extent  of  redemption  fine  levied.  As we have<br \/>\nupheld the order  of  confiscation,  the  Respondents<br \/>\nshall be entitled to recover the amount of redemption<br \/>\nfine with  interest  @  12%  p.a.    from the date of<br \/>\nclearance of the goods till date.\n<\/p>\n<p> Accordingly, the petition fails.  Rule  stands<br \/>\ndischarged.  The Respondents are at liberty to encash<br \/>\nthe  bank  guarantees  for  the  sum of Rs.1,65,000\/<br \/>\nfurnished by the Petitioners.  The Petitioners  shall<br \/>\npay  to  the Respondents, interest on the said sum of<br \/>\nRs.1,65,000\/- from the date  of  clearance  of  goods<br \/>\ntill date @   12%  p.a.    by  31.12.2002.    If  the<br \/>\nPetitioners fail to pay the said amount  of  interest<br \/>\nby 31.12.2002, then the said amount of interest shall<br \/>\nbe  recoverable  from  the  Petitioners with interest<br \/>\n@18% p.a.  from 1st January 2003  till  the  date  of<br \/>\nrecovery.\n<\/p>\n<p> The  petition  stands disposed of accordingly.<br \/>\nHowever, there will be no order as to costs.<br \/>\nAt this stage the  learned  Counsel  appearing<br \/>\nfor  the Petitioner requested to issue directions to<br \/>\nthe Revenue not to enforce the bank guarantee for the<br \/>\nperiod of eight weeks.  Accordingly,  we  direct  the<br \/>\nRevenue  not  to  encash  the  bank guarantee for the<br \/>\nperiod of eight weeks from today.\n<\/p>\n<p> Certified copy expedited.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bombay High Court Alpa Laboratories vs Deputy Collector Of Customs And &#8230; on 3 December, 2002 Equivalent citations: 2003 (3) BomCR 427, 2003 (4) MhLj 498 Bench: V Daga, J Devadhar JUDGMENT 1. In this petition, two orders passed by the Customs authorities under Section 111(d) of the Customs Act read with Section 3 of [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[11,8],"tags":[],"class_list":["post-194858","post","type-post","status-publish","format-standard","hentry","category-bombay-high-court","category-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Alpa Laboratories vs Deputy Collector Of Customs And ... on 3 December, 2002 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/alpa-laboratories-vs-deputy-collector-of-customs-and-on-3-december-2002\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Alpa Laboratories vs Deputy Collector Of Customs And ... on 3 December, 2002 - Free Judgements of Supreme Court &amp; 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