Non-Declaration of Intent can’t be a Ground for Rejecting Benefit

Non-Declaration of Intent can’t be a ground for Rejecting Benefit to an
Exporter under MEI Scheme: Bombay High Court

Division Bench of the Bombay High Court held that an exporter eligible
under the Merchandise Exports from India Scheme(MEIS) cannot be denied
benefit under the scheme on the ground of non-declaration of intent.

The judgment was pronounced by the division Bench consisting Milind N.
Jadhav, J. and Ujjal Bhuyan, J , in the writ petition filed by Portescap
India Private Limited, challenging the rejection of its applications
filed under the Merchandise Exports from India Scheme by the respondents
on the ground of mis/non declaration of intent. Accepting the contention
of the petitioner and relying on the decisions of the Madras High Court
in Pasha International Vs. Commissioner of Customs, Tuticorn (2019(365)
E.L.T. 669 (Mad.)) and M/s. Greenglobe Exports India P Ltd Vs. Asst.
Commission of Customs &Ors.( 2018-TIOL-94-SC-MAD-CUS),  the Court held
that except for the inadvertent mistake of non statement of declaration
of intent, the petitioner is otherwise eligible and entitled to the
reward under MEIS.

The Petitioner placed its arguments on various rulings including
Mangalore Chemicals & Fertilizers Ltd Vs. Deputy Commissioner
(2002-TIOL-234-SC-CX) wherein it was held that the intention of the
legislature under the Merchandise Exports from India Scheme is to
provide rewards to exporters to offset infrastructural inefficiencies
and associated costs and therefore any procedural irregularity or
mistake committed by the claimant cannot be a ground for denial of
benefit.

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