Exporter Can't Be Deprived Of MEIS Benefits Due To Technical Error In Electronic System: Madras High Court

The single bench of Justice Abdul Quddhose has directed the department to consider the petitioner's representation seeking to get the benefit under the MEIS for the subject shipping bill and pass orders within a period of six weeks.

The petitioner is an exporter of human hair. The petitioner was entitled to the benefits of the export incentive scheme called the Merchandise Export from India Scheme. In the shipping bill for the subject exports, the incentive sought by the petitioner was not considered by the respondents. The petitioner has made a categorical stand that they intend to claim rewards under the merchandise exports from India scheme (MEIS).

The department has not processed the petitioner's application for MEIS on the ground that in the shipping bill, they have declared "No" with regard to their intention to claim the benefit under MEIS. The amendment was done manually and not in electronic form. The respondent refused to consider the petitioner's request for entitlement under the Merchandise Exporters from India Scheme.

The court noted that a clear intention was revealed in the shipping bill submitted by the petitioner; they then intend to claim the benefits/incentive under the Merchandise Export from India Scheme (MEIS). The petitioner made an inadvertent mistake in the shipping bill, which was amended by an order passed by the Deputy Commissioner, Office of the Principal Commissioner of Customs. The respondents ought to have processed the petitioner's shipping bill and ought to have granted the benefits to the petitioner under MEIS.

Case Title: M/s Gupta Hair Products (P) Ltd. Versus The Deputy Director General of Foreign Trade

Case No: W.P.No. 25860 of 2021

Citation: 2022 LiveLaw (Mad) 375

Dated: 04.07.2022

Counsel For Petitioner: Advocate G.Derrick Sam

Counsel For Respondent: Senior Panel Counsel T.V. Krishnamachari

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