COLLECTOR OF CUSTOMS. CALCUTTA vs SUN INDUSTRIES

The Supreme Court upheld the Tribunal's decision that the respondent was entitled to drawback under Section 75 of the Customs Act, 1962. The Court clarified that once the ship moved beyond India's territorial waters, the export was complete, and the title of the goods passed to the exporters, despite the ship later running aground. The Court interpreted 'taking out to a place outside India' to include the high seas, affirming that the goods had indeed been exported as per Section 2(18) and Rule 2(c) of the Customs and Central Excise Duties Drawback Rules, 1971.