wise, interest at such rate as specified in section payable on the amount of duty on the warehot s the period from the expiry of the period of one year til date of the clearance of the goods from the warehouse, (3) notwithstanding anything contained in section on any warehoused goods specified in clause (b) sub-section (/), the importer shall pay interest on the amoun of duty at such rate as specified in section 47, for the period fror the expiry of seven days from the date on which the bill of entry is returned to the importer for warehousing the goods 10 under section 59a, till the date of clearance of the goods from the warehouse: cs provided that the board may, if it considers it necessary so to do in the public interest, waive, by such order and under circumstances of an exceptional nature, to be specified in such 15 order, the whole or part of any interest payable under this section in respect of any warehoused goods", 9 in sections 60, 72 and 73 of the principal act, for the word and figures, "section 59", wherever they occur, the words, figures and letter "section 59 or section 59a" shall be substituted 20 amendment of sections 60, 72 and 73 10, in section 129e of the principal act, for the word "duty", wherever it occurs, the words "duty and interest" shall be substitutedamendment of section 1298  statement of objects and reasonsthis bill aims at amending the provisions mainly relating to warehousing of goods after import without payment of duty under the customs act, 1962 under the present law the imported goods may be stored in bonded warehouses till their actual clearance for home consumption on payment of appropriate duty or their re-export without payment of duty to any foreign port ae 2 existing provisions permit warehousing for three months and charging of interest at the rate of 18 per cent on delayed clearance which are being misused by the importers by blocking large amounts of revenues m i 3 besides, at present, there is no time limit for payment of duty, under section 47 of the customs act, 1962 and also for payment of interest for delayed payment of duty ty 4, this bill seeks to curtail the period of warehousing, prescribe the increased rate of interest on duty leviable on the warehoused goods, ensure prompt payment of duty and impose interest on delayed payments of duty, 5 the proposed amendments will expedite the realisation of revenue and discourage indiscriminate warehousing of imported goods and ensure prompt payment of duties 6 the bill seeks to achieve the above objects, new delhi; manmohan singh the 10th december, 1991  president's recommendation under articles 117(1) and 274 (1) of the constitution of india[copy of letter dated the 13th december, 1991 from dr manmohan singh, minister of finance to the secretary-general, lok sabha] the president having been informed of the subject matter of the customs (amendment) bill, 1991 recommends under clause (1) of article 117 and clause (1) of article '274 of the constitution, the introduction of the above bill in lok sabhaau  annexure_ exrracts prom the customs act, 1962 (52 of 1962)    27 (1) any person claiming refund of any duty— claim for refund (i) paid by him in pursuance of an order of assessment; ar of duty (i) borne by him, may make an application for refund of such duty to the co:lector of customs— \ his personal use or by government or by any educational, rese or charitable institution or hospital, before the expiry of one ye (b) in any other case, before the expiry of six months, panied by such documentary or other evidence (including referred to in section 28c the applicant may 4 that ol t to which s1 been passed on by him to any provided that where an application foi the commencement of the central excises and stom ment) act, 1991, such application shall be deemed to have 1 under this sub-section and the same shall be dealt with in a with the provisions of sub-section (2): provided further that the limitation of one year or six months, the case may be, shall not apply where any duty has been paic protest : j explanation—for the purposes of this sub-section, "the da ment of duty", in relation to a person, other than the importer, be construed as "the date of purchase of goods" by such person - (2) if, on receipt of any such application, the assistant coll customs is satisfied that the whole or any part of the duty paid by 7 applicant is refundable, he may make an order accordingly a amount so determined shall be credited to the fund: provided that the amount of duty as determined by the  collector of customs under the foregoing provisions of this su shall, instead of being credited to the fund, be paid to the applicant, if such amount is relatable to— (a) the duty paid by the importer, if he had not passed on the incidence of such duty to any other person; (6) the duty on imports made by an individual for his personal use; | (c) the duty borne by the buyer, if he had not passed on the incidence of such duty to any other person; (d) the export duty as specified in section 26; (e) drawback of duty payable under sections 74 and 15; (f) the duty borne by any other such class of applicants as the central government may, by notification in the official gazette, specify: provided further that no notification under clause (f) of the first proviso shall be issued unless in the opinion of the central government the incidence of duty has not been passed on by the persons concerned to any other person      48 if any goods brought into india from a place outside india are not cleared for home consumption or warehoused or transhipped within forty-five days from the date of the unloading thereof at a customs station or within such further time as the proper officer may allow or if the title to any imported goods is relinquished, such goods may, after notice io the importer and with the permission of the proper officer be sold by the person having the custody thereof: provided that— (@) animals, perishable goods and hazardous goods, may, with the permission of the proper officer, be sold at any time; procedure in case of goods not cleared, warehoused, or transhipped within two months after unloading (0) arms and ammunition may be sold at such time and place and in such manner as the central government may direct, explanaiion—in this section, "arms" and "ammunition" have the meanings respectively assigned to them in the arms act, 1959      57 at any warehousing station, the assistant collector of customs may appoint public warehouses wherein dutiable goods may be deposited without payment of duty appointing of public warehouses licensing of private warehouses58 (1) at any warehousing station, the assistant collector of customs may license private warehouses wherein dutiable goods imported by or on behalf of the licensee, or any other imported goods in respect of which facilities for deposits in a public warehouse are not available, may be deposited without payment of duty 4 (2) the assistant collector of customs may cancel a licence granted under sub-section (1)— (®) by giving one month's notice in writing to the licensee; or : - a q : a es |             |             |           |           | (b)         | if         | the         | licensee    | has         | contravened    ||-------------|-------------|-----------|-----------|-------------|------------|-------------|-------------|-------------|----------------|| or          | the         | rules     | or        | regulations | or         | paris       | breach      | of          | a              || ditions     | of          | the       | licence:  |             |            |             |             |             |                || 'provided   | that        | before    | any       | licence     | is         | cancelled   | under       | ps          |                || licensee    | shall       | be        | given     | a           | reasonable | opportunity | of          | being       |                || (3)         | pending     | an        | enquiry   | whether     | a          | licence     | granted     | under,      |                || (1)         | should      | be        | cancelled | under       | clause     | (b)         | of          | sub-section | (2),           || collector   | of          | customs   | may       | suspend     | the        | licence    |             |             |                || ware-       |             |           |           |             |            |             |             |             |                || housing     |             |           |           |             |            |             |             |             |                || bond       |             |           |           |             |            |             |             |             |                || 59         | (1)         | the       | importer  | of          | any        | dutiable    | goods       | which       | have           || for         | warehousing | and       | assessed  | to          | duty       | under       | section     | 17          | or             || shall       | execute     | a         | bond      | binding     | himself    | in          | a           | sum         | equal          || of          | the         | duty      | assessed  | on          | such       | goods,—     |             |             |                || (2)         | to          | observe   | all       | the         | provisions | of          | this        | act and     | the            || regulations | in          | respect   | of        | such        | goods;     | '           |             |             |                || (b)         |             |           |           |             |            |             |             |             |                || to          |             |           |           |             |            |             |             |             |                || pay         |             |           |           |             |            |             |             |             |                || on          |             |           |           |             |            |             |             |             |                || or          |             |           |           |             |            |             |             |             |                || before      |             |           |           |             |            |             |             |             |                || a           |             |           |           |             |            |             |             |             |                || date        |             |           |           |             |            |             |             |             |                || specified   |             |           |           |             |            |             |             |             |                || in          |             |           |           |             |            |             |             |             |                || a           |             |           |           |             |            |             |             |             |                || notice      |             |           |           |             |            |             |             |             |                || of          |             |           |           |             |            |             |             |             |                || all         |             |           |           |             |            |             |             |             |                || duties,     |             |           |           |             |            |             |             |             |                || rent        |             |           |           |             |            |             |             |             |                || and         |             |           |           |             |            |             |             |             |                || charges     |             |           |           |             |            |             |             |             |                || claimable   |             |           |           |             |            |             |             |             |                || on          |             |           |           |             |            |             |             |             |                || account'    |             |           |           |             |            |             |             |             |                || of          |             |           |           |             |            |             |             |             |                || stich       |             |           |           |             |            |             |             |             |                || go          |             |           |           |             |            |             |             |             |                || this        |             |           |           |             |            |             |             |             |                || act,        |             |           |           |             |            |             |             |             |                || together    |             |           |           |             |            |             |             |             |                || with        |             |           |           |             |            |             |             |             |                || interest    |             |           |           |             |            |             |             |             |                || on          |             |           |           |             |            |             |             |             |                || the         |             |           |           |             |            |             |             |             |                || same        |             |           |           |             |            |             |             |             |                || from        |             |           |           |             |            |             |             |             |                || the         |             |           |           |             |            |             |             |             |                || specified   |             |           |           |             |            |             |             |             |                || at          |             |           |           |             |            |             |             |             |                || the         |             |           |           |             |            |             |             |             |                || rate        |             |           |           |             |            |             |             |             |                || of          |             |           |           |             |            |             |             |             |                || six         |             |           |           |             |            |             |             |             |                || per         |             |           |           |             |            |             |             |             |                || cent       |             |           |           |             |            |             |             |             |                || per         |             |           |           |             |            |             |             |             |                || annum       |             |           |           |             |            |             |             |             |                || on          |             |           |           |             |            |             |             |             |                || such        |             |           |           |             |            |             |             |             |                || other       |             |           |           |             |            |             |             |             |                || as          |             |           |           |             |            |             |             |             |                || is          |             |           |           |             |            |             |             |             |                || for         |             |           |           |             |            |             |             |             |                || the         |             |           |           |             |            |             |             |             |                || time being  |             |           |           |             |            |             |             |             |                || fixed       |             |           |           |             |            |             |             |             |                || by          |             |           |           |             |            |             |             |             |                || the         |             |           |           |             |            |             |             |             |                || board;      |             |           |           |             |            |             |             |             |                || and         |             |           |           |             |            |             |             |             |                || (c)         | to          | discharge | all       | penalties   | incurred   | for         | violation   | of          | the            || visions     |             |           |           |             |            |             |             |             |                || of          |             |           |           |             |            |             |             |             |                || this        |             |           |           |             |            |             |             |             |                || act         |             |           |           |             |            |             |             |             |                || and         |             |           |           |             |            |             |             |             |                || the         |             |           |           |             |            |             |             |             |                || rules       |             |           |           |             |            |             |             |             |                || and         |             |           |           |             |            |             |             |             |                || regulations |             |           |           |             |            |             |             |             |                || in          |             |           |           |             |            |             |             |             |                || respect     |             |           |           |             |            |             |             |             |                || of          |             |           |           |             |            |             |             |             |                || goods      |             |           |           |             |            |             |             |             |                |    60 when the provisions of section 59 have been con 61, (1) any warehot they are deposited or in any wa   aa (b) in the case of any other goods, till the exp after the date on which the proper officer made an order permitting the deposit of the goods in a warehouse: provided that— 139 (3) in the case of any goods which are likely aforesaid period of one year or three months, ai may be reduced by the collector of customs to as he may deem fit; | (i) in the case of any goods which are not likely to d the aforesaid period of one year or three months, as the cas may, on sufficient cause being shown, be extended by the of customs for a period not exceeding six months and by for such further period as it may deem fit:provided further that when the licence for any private warehouse is cancelled, the owner of any goods warehoused therein shall, within seven days from the date on which notice of such cancellation is given or within such extended period as the proper officer may allow, remove the goods from such warehouse to another warehouse or clear them for home consumption or exportation (2) where any warehoused goods remain in a wareholse beyond the period of one year or three months specified in clause (a) or clause (b) of sub-section (1) by reason of the extension of the aforesaid period or otherwise, interest at such rate, not exceeding eighteen per cent per annum as is for the time being fixed by the board, shall be payable on the amount of duty on the warehoused goods for the period from the expiry of the period of one year or, as the case may be, three months, till the date of the clearance of the goods from the warehouse: provided that the board may, if it considers it necessary so to do in the public interest, waive, by special order and under circumstances of an exceptiona' nature to be specified in such order, the whole or part of any interest payable under this sub-section in respect of any warehoused goods 67 the owner of any warehoused goods may, with the permission of the proper officer, remove them from one warehouse to another, without payment of duty, subject to such conditions as may be prescribed for the due arrival of the warehoused goods at the warehouse to which removal is permitted 72, (1) in any of the following cases, that is to say - (a) where any warehoused goods are removed from a warehouse in contravention of section 71; (b) where any warehoused goods have not been removed from a warehouse at the expiration of the period during which goods are permitted under section 61 to remain in a warehouse; (c) where any warehoused goods have been taken under section 64 as samples without payment of duty; (d) where any goods in respect of which a bond has been executed under section 59 and which have not been cleared for home consumption or exportation are not duly accounted for the sat'sfaction of the proper officer; the proper officer may demand, and the owner of such goods shall forthwith pay, the full amount of duty chargeable on account of such goods together with all penalties, rent, interest and other charges payable in respect of such goods (2) if any owner fails to pay any amount demanded under sub-section (i), the proper officer may, without prejudice to any other remedy, cause to be detained and sold, after notice to the owner (any transfer of the goods notwithstanding) such sufficient portion of the goo?s, if any, in the warehouse, as the said officer may select, ' removal of goods from one warehouse to another goods improperly removed from warehouse, etecancellation 73 when the whole of the goods t under section 59 have been cleared for home c return of warehousing bond, erwise duly accounted for, and when count of such goods have been paid, the proper bond as discharged in full, and shall on demand the person who has executed or is entitled to receive 129e where in any appcpl under this chapter, the appealed against relates to any duty demanded in : are not under the control of the customs authorities o under this act, the person desirous of appearing against order shall, pending the appeal, deposit with the proper demanded or the penalty levied: 1 deposit, pending appeal of duty demanded or penalty levied, provided that where in any particular case, the | the appellate tribunal is of opinion that the depo or penalty levied would cause undue hardship to tor (appeals) or, as the case may be, the appellate with such deposit subject to such conditions as he or i impose so as to safeguard the interests of revenue 