IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON TUESDAY, THE 7TH JUNE 2011 / 17TH JYAISHTA 1933 WP(C).No. 13627 of 2011(C) -------------------------- PETITIONER(S): --------------- M/S. INTEGRAL ASSOCIATES, 405 A, VATCHAKKAL LANE, EDAVANAKKAD P.O., ERNAKULAM-682 502, REPRESENTED BY ITS PROPRIETOR, ARSHAD K.S. BY ADV. SRI.P.RADHAKRISHNAN (1) SRI.MADHU RADHAKRISHNAN RESPONDENT(S): --------------- 1. THE COMMISSIONER OF CUSTOMS, CUSTOMS HOUSE, WELLINGTON ISLAND, KOCHI. 2. THE ASSISTANT COMMISSIONER OF CUSTOMS (IMPORTS), CUSTOMS HOUSE, WELLINGTON ISLAND, KOCHI. ADV. SRI.JOHN VARGHESE,SC,CEN.BOARD OF EXCIS SRI. THOMAS MATHEW NELLIMOOTTIL, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 07/06/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R.RAMACHANDRA MENON, J ....................................................... W.P.(C).13627/2011 .............................................. Dated this the 7th day of June, 2011 JUDGMENT The petitioner has approached this Court with the following prayer:- Issue a writ of mandamus directing the 2nd respondent not to encash the bank guarantee mentioned in Ext.P3 order or receive amounts under the same until the stay application preferred in the appeal is disposed of. 2. The learned counsel for the petitioner submits that the respondents are taking coercive steps against the petitioner by causing the amount covered by the 'Bank Guarantee' furnished by the petitioner, to be encashed, by forwarding a copy of the order to the bankers, which cannot but be deprecated. 3. The learned Standing Counsel appearing for the respondents, with reference to the contentions in the statement, submits that the averments and allegations raised by the W.P.(C).13627/11 2 petitioner are far beyond the track of truth and that, no such coercive steps are being pursued by the respondents, that too before the expiry of the appeal period. The stand of the respondents is reflected from paragraph 2 and 3 of the statement which reads as follows:- 2. Assessment was finalized strictly as per the instruction contained in the order of this Honourable Court in W.A.No.2051/2010 dated 6.12.2010 and on finalization, it was found that there was a short levy of Rs.28,75,176/- for which the bank guarantee was ordered to be enforced on finalization of assessment. As a procedural requirement copy of the order in original was marked to all the concerned parties including the importer, their Custom House Agent, the Bank Manager, Review Cell of Custom House etc. This doesn't mean that the department will immediately enforce the bank guarantee. 3. It is undertaken that no coercive action will be taken by the department for enforcing the bank guarantee till the appeal period is over before Commissioner of Customs (Appeals)/ Customs, Excise and Service Tax Appellate W.P.(C).13627/11 3 Tribunal, as there are clear instruction for the department issued by the Central Board of Excise and Customs vide Circular No.788/21/2004 CX dated 25.5.2004. Hence it is submitted that the bank guarantee will not be invoke without awaiting for the appeal period and further action in this regard will be taken only in accordance with the decision of the appellate authorities. In the above circumstances, this Court finds that no further orders are warranted in this writ petition. The submission made from the part of the respondents is recorded and the matter is closed accordingly. P.R.RAMACHANDRA MENON, Judge mrcs