FORTIS HOSPITAL LTD. vs COMMR.OF CUSTOMS,IMPORT

The Supreme Court ruled that the exemption from import duty under Notification No. 64/88-Cus is contingent upon the fulfillment of specific conditions regarding the provision of free medical services, as outlined in Section 124 and Section 111(o) of the Customs Act, 1962. The Court held that the conditions are continuing in nature and must be adhered to post-import, leading to the conclusion that the appellant's failure to comply justified the issuance of a show cause notice and potential penalties. The appeal was dismissed, affirming the Revenue's authority to enforce compliance with the conditions of the exemption.