COMMNR. OF CUSTOMS (GENERAL), N. DELHI vs GUJARAT PERSTORP ELECTRONICS LTD.

The Supreme Court upheld the decision of the Customs, Excise and Gold (Control) Appellate Tribunal (CEGAT) which had allowed appeals by M/s Pearl Engineering Polymers Ltd. against the Commissioner of Customs. The Court found that the Company had complied with the conditions of the Export Promotional Capital Goods (EPCG) Scheme under the Export and Import Policy, 1992-97, specifically regarding the actual user condition. The Court held that the evidence presented did not substantiate the allegations of diversion of goods, thereby affirming CEGAT's order to set aside the Commissioner’s original order dated December 30, 1997.