In Brief
M/s Granules India imported Acetic Anhydride under an Advance Licence scheme in 1993 with initial customs duty exemption. An amendment withdrawal the exemption, but a subsequent clarificatory notification restored it. Customs authorities denied duty exemption, claiming the physical import occurred after the withdrawal. The High Court dismissed the writ petition, holding the authorities were unaware of the clarificatory notification. The Supreme Court allowed the appeal, holding that consignments under a single licence obtain the exemption's benefit under the clarificatory notification regardless of timing, and State authorities cannot rely on ignorance of their own notifications as a defence.
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