ABAN LOYD CHILES OFFSHORE LTD. vs U.O.I. .

The Supreme Court addressed whether oil rigs operating in India's exclusive economic zone qualify as 'foreign going vessels' under Section 2(21) of the Customs Act, 1962, allowing them to consume imported stores without customs duty as per Section 87. The Court upheld the Bombay High Court's previous ruling in Amership Management Pvt. Ltd. v. Union of India, affirming that such rigs are indeed foreign going vessels and entitled to duty exemptions. Consequently, the appeals were allowed, permitting the clearance of stores without customs duty.