Wait...

Online India Export Import Data Search

Complete Training Video : Click Here

Amendment in Circular No. 52/95 allowing the relaxation of execution of bond/ bank guarantee by the parent company on behalf the subsidiary company, Customs Circular No 123/1995, 04-12-1995



Date: 04-12-1995
Notification No: Customs Circular No 123/1995
Issuing Authority: Indian Customs  
Type: Circular
File No:
Subject: Amendment in Circular No. 52/95 allowing the relaxation of execution of bond/ bank guarantee by the parent company on behalf the subsidiary company
Amendment in Circular No. 52/95 allowing the relaxation of execution of bond/ bank guarantee by the parent company on behalf the subsidiary company

Circular No. 123 dated 4th December 1995

A representation has been received by the Ministry to extend the facility of execution of BG/ Bond to the subsidiary of export house/ trading house/ star trading house/ super star trading house as has been made available to them under Circular No. 52/ Customs & 97/ 95 Customs issued from F.No. 605/75/95- DBK. It has been represented by the representations that such facility will be in conformity with the provisions of para 103(i)(d) of the Handbook of Procedures Volume- I.

The matter has been considered by the Ministry and it has been decided to exit the benefit of joint bond/ bank guarantee, which shall be signed both to the parent company as well as the subsidiary company holding the licence. The facility, however, will be subject to the following conditions:

(1)     The parent company should necessarily have more than 50% share holding in the subsidiary company.

(2)     The facility will be subject to the fact that both the parent company and the subsidiary company should have common Board of Directors. This fact can be verified from the Article of Association/ memorandum of Association of the parent company and the subsidiary company.

(3)     The bond/ bank guarantee shall be jointly signed by the parent company as well as the subsidiary company and shall be executed in terms of criteria laid down under Circular No. 52/95-Cus. as further amended by Circular No. 97/95-Cus. issued from F.No. 605/ 75/95 -DBK.

(4)     The parent company shall stand surety for the subsidiary company that in the event subsidiary company failing to fulfill the export obligation and thereupon defaulting payment of Customs Duty and interest, the parent company shall make good to Govt. revenue and the interest. In other words the parent company will be severally are jointly liable for the action in terms of the bond/ bank guarantee jointly executed by them.

The above instructions will apply mutatis mutandis both to Duty Exemption Scheme and EPCG Scheme. A Standing order for the guidance of the departmental officers and a Public Notice for the benefit of the trade may kindly be issued. A copy of SO/ PN issued on this behalf may be sent to the Commissioner (DBK) and DGI ACC & E. In case of any difficulty, the same may please be brought to the notice of the Ministry.

       

DO YOU NEED HELP?

Get Sample Now

Which service(s) are you interested in?
 Export Data
 Import Data
 Both
 Buyers
 Suppliers
 Both
OR
 Exim Help
+


What is New?

Date: 21-04-2017
Customs Notification No. 17/2017
Seeks to exempt goods, falling under the First Schedule to the Customs Tariff Act, 1975, when imported into India by or along with a unit of the Army, the Navy, the Air Force or the Central Paramilitary Forces on the occasion of its return to India after a tour of service abroad, from basic customs duty (BCD), CVD and SAD subject to the specified conditions.

Date: 21-04-2017
Trade Notice No. 04/2018
Consideration of applications for grant of Licences/ Authorisations for import of “Gold Dore”

Date: 20-04-2017
Notification No.40/2017 - Customs (N.T.)
Rate of exchange of conversion of the foreign currency with effect from 21st April, 2017

Date: 20-04-2017
Customs Notification No. 16/2017
Seeks to exempt goods falling under chapter 30 of first schedule of Customs tariff Act 1975, for supply under Patient Assistance Programme run by specified pharmaceutical companies

Date: 19-04-2017
Customs Instruction No. 05/2017
Meeting with representatives of Foreign Missions -reg.

Date: 19-04-2017
DGFT Notification No. 03/2015-2020
Exemption from the application of quantitative ceiling and export bans on export of organic agricultural products (wheat, non-Basmati rice) and organic processed products (edibleoils and sugar) and enhancement of quantitative ceiling on export of pulses & lentils

Date: 19-04-2017
Customs Circular No. 15/2017
DRescinding Board Circular F. No. 528/213/87 - Customs (TU)

Date: 19-04-2017
DGFT Public Notice No. 02/2015-2020
Amendment in Standard Input Output Norms A-39 under Chemical & Allied Product Group –reg

Date: 18-04-2017
Customs Notification No. 14/2017
Amendment to Notification No.41/1999-Cus to align the said notification with para 4.36 of FTP 2015-20 by omitting the word 'for export' in the proviso to the notification

Date: 13-04-2017
DGFT Notification No. 02/2015-2020
TRQ for Raw Sugar: Amendment in import policy of raw sugar classified under Exim Code 170114 of Chapter 17 of ITC (HS), 2017–Schedule–1 (Import Policy