Page 190 - ELT_1st August 2020_Vol 373_Part 3

372 EXCISE LAW TIMES [ Vol. 373

ment in the exercise of its power under Section 25(1) of the Customs Act, 1962
has thought it fit to not to demand interest foregone, even if there was a failure to
pay customs duty on due failure to discharge the Export obligation undertaken
under the licence.
15. Though, the licenses were granted under the EPCG schemes of the
Export and Import Policy, the duty liability and concession are given by the
Government of India, Department of Revenue, Ministry of Finance under Notifi-
cation issued under Customs Act, 1962.
16. It is the case of the petitioners that the Central Government, De-
partment of Revenue, Ministry of Finance in the exercise of power vested with it
under Section 25(1) of the Customs Act, 1962 had issued Notification No. 160/92-
Cus., dated 20-4-1992 for the aforesaid purpose and the said Notification does
not contemplate interest in case there was a failure to discharge the export obli-
gation.
17. It is submitted that the importer at the time of clearance of the capi-
tal goods under the said scheme was merely required to make a declaration be-
fore the Asst. Commissioner of Customs, in such form as he may declare before
the Asst. Commissioner of Customs as the officer may specify, binding upon
himself to pay on demand an amount equal to the duty leviable on such capital
goods but for the exemption contained therein in respect of which the conditions
specified in column (2) of the table were complied with. Text of Notification No.
160/92-Cus., dated 20-4-1992 reads as under :-
MINISTRY OF FINANCE
(Department of Revenue)
NOTIFICATION
New Delhi, the 20th April, 1992
No. 160/92-Customs
G.S.R. 423(E). - In exercise of the powers conferred by sub-section (1)
of Section 25 of the Customs Act, 1962 (52 of 1962), the Central Govern-
ment, being satisfied that it is necessary in the public interest so to do, here-
by exempts capital goods, when imported into India by an importer speci-
fied in column (2) of the Table hereto annexed from so much of the duty of
customs leviable thereon which is specified in the First Schedule to the Cus-
toms Tariff Act, 1975 (51 of 1975) as is in excess of the amount calculated at
the rate specified in the corresponding entry in column (3) of the said Table
and the whole of the additional duty leviable thereon under Section 3 of the
said Customs Tariff Act, subject to the following conditions, namely :-
(i) the capital goods are imported under, and in accordance with, a li-
cence under the Export Promotion Capital Goods (EPCG) Scheme in
terms of the Export and Import Policy (hereinafter referred to as the
Policy);
(ii) the importer, at the time of clearance, shall produce to the Assistant
Collector of Customs a certificate from the licensing authority for hav-
ing executed a bond under paragraph 45 of the Policy; and
(iii) the importer at the time of clearance of the said capital goods shall
make a declaration before the Assistant Collector of Customs, in such
form as he may specify, binding himself to pay on demand an amount
equal to the duty leviable on such capital goods but for the exemption

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