ARTICLE · 07 FEBRUARY 2022

DRI's Power To Issue Show Cause Notices

Economic Laws Practice

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The Finance Bill, 2022 has sought to overcome the ruling of the Supreme Court in the case of Canon India Vs Commissioner of Customs [2021-TIOL-123-SC-CUS-LB] whereby it was held that DRI official(s) were not a "proper officer" ...

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Economic Laws Practice

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The Finance Bill, 2022 has sought to overcome the ruling of the Supreme Court in the case of Canon India Vs Commissioner of Customs [2021-TIOL-123-SC-CUS-LB] whereby it was held that DRI official(s) were not a "proper officer" to issue show cause notices under Section 28 of the Customs Act. The Bill amends the definition of "proper officer" in Section 2(34), substituting Section 3 and section 5 of the Customs Act to specifically provide that DRI is an officer of the Customs. Further, section 96 of the Bill inter alia provides that: (a) any action performed earlier shall be deemed to have validly done or performed and (b) any pending proceeding shall be disposed in accordance with the amended provisions of the Customs Act.

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