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Judgment
Akil Kureshi, J.—Petitioner has challenged the demand notices issued by Respondent No. 1 - Kandla Port Trust seeking recovery of demurrage charges for the containers which remained in the premises of the Kandla Port since the Petitioner could not clear the goods on auction of inspection being carried out by the Customs Authorities.
The containers had arrived starting from 1st January, 1997. Such containers were, however, admittedly cleared on 9th July, 1997. Kandla Port Authorities, therefore, demanded demurrage charges from the Petitioner since the containers were not cleared within the statutory period.
Case of the Petitioner is that the Customs Authorities had detained the goods for carrying out inspection. However, eventually, nothing irregular was found. Goods were released. In-fact, Customs Authorities recommended that demurrage charges be waived. Reliance is placed on the circular issued by Kandla Port Trust to contend that in past such waiver had been granted.
On behalf of the Kandla Port Trust, Shri Vyas, opposed the petition and contended that in the circular issued by Kandla Port Trust which revealed at the time of incident took place, that there was no provision for waiver of demurrage charges for the reasons stated above. He relied on the several decision of the Apex Court in cases of, (1) of Union of India and ors Vs. R.C. Fabrics (P) Ltd. and anr, and (2) Sun Export Corporation and Another Vs. Board of Trustees of the Port of Bombay, to contend that demurrage charges cannot be waived.
It is not in dispute that containers remained idle in the port premises for considerably long time and beyond statutory period permitted for clearance. In that view of the matter, in view of the decisions of the Apex Court noted above, it was open for the Kandla Port Trust to recover demurrage charges. Fact that the Petitioner could not clear the goods on account of detention by the Customs Authorities would not change the situation. If at all, the Petitioner was of the opinion that such detention was unauthorized, illegal or frivolous it can proceeded against the Customs Authorities. But in any view of the matter, Kandla Port Trust cannot be asked to waive their charges for delayed clearance of the goods.
At this stage, counsel for the Petitioner submitted that Kandla Port Trust have not supplied calculations for recovery of Rs. 10 Lacs from running account.
Under the circumstances, while disposing of this petition, Respondent No. 1- Kandla Port Trust are directed to supply calculation for computation of such charges from the Petitioner within 2 weeks from today. If the Petitioner has any grievance about such calculation, it would be open for the Petitioner to dispute the same in accordance with law.
With above direction, petition is disposed of.