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Tfr. TIC{I{ /GOVERNMENT OF INDIA

ETtrl.;q\r{sgltf riAlqqT\A1}TISTRY OF COMMERCE AND INDUSTRY
qTfrFq frqq7 DEPAR TMENT
OF COMMERCE F{-trT{rRtqi6 frter qiqrc +-r orqfqq,
OFFICE OF THE JOINT D]RECTOR G ENERAL OF FO
REIGN TRADE,
PIot No. I 17. First Main Road. K.K. Nagar, Madurai *
625 020
Phone:0452- 2586485
Emai I : madurai-d_qti@nic. in

Er{f, di rite no. 35/ 21,/O4)/AL/ AMrz

frqie/ Date:20.6.2019

ORDER-I N.ORIGINAL

PASSiD BY: N. VAIDHYANATHAN

Deputy Director General of Foreign Trade

1 Any person/party aggrieved by this order may, under

Section i5 of the Foreign Trade
(Development and Reguration) Act,
lggz & notification no. 21(RE-201 3)/2oog_2014 dt.
13'6'2013 file an appear against the same
to the appropriate authority viz.fhe jdditioooi

'600046 within a period of forty five days ( 45 days) from t6e date of
servrce of this
adjuclication order together with a copy of this
order and a complete set of evidence rn
tl.'e fornr of Annexure to the appear reried
upon in support of the appear.
')
L Any person/party desirous of filing an appeal against
this order shall deposit the penalty
amount and produce proof of payment of penalty
amount along with the appeal to the
Appellate Authority faillng which the appeal is
liable to be rejected for non-compliance of
the provisions of section 15 of the Foreign Trade (Development
ancj Regulation) Act,
1992
1
J. The penalty amount is to be deposited in an auth orized bank of Central Bank of lndia
unrjer the Head of Account "1453 Foreign Trade
& Export promotion Minor Head 102
other receipts fines, penalties etc." The bank receipt
must show the name of Dept. viz.
Directorate General of Foreign Trade. The bank
receipt drawn in favour of pay &
Acc,runts Officer (Foreign Trade), Chennai.

4 Evidence of payment of penalty is required

to be furnished to the Adjudicating Authority

(P T.O)
 -.2:-
within forty five days (45 days) from the date of service of this Adjudication Order,

failing which the lmporter-Exporter Code Number of the persons/companies/ other

entities concerned is liable to be suspended under the provisions of Section 11(4) of the

foreign Trade (Development & Regulation )Act, 1992 without making any further

reference to them.
I]RIEF FACTS OF THI' CASE

5. Whereas M/s. Chillies Export House Ltd., No.1-B, Patel Road, Virudhunagar - 626 001 had

obtained an Advance Authorization No. 3510033423 dt. 06.04.2011 for a CIF value of
USD 35,800 (Rs. 15,93,100) for import of Oleoresin Paprika(crude) with export obligation
to export Oleoresin Paprika(refined) for FOB value USD 41,895(Rs.18,64,327) within a

period 120 days from the date of clearance of first consignment by Customs Authority.
IEC no allotted to the firm is 0488001579.

6. The Export Obligation period expired on 19.09.2011(120 days - first consignment made
on 23.05.2011). Letter dated 27.01.2015 was issued calling for E.O. documents. Since the
firm had not submitted the documents, Show Cause Notice was issued on 27.2.2015.
But, they have submitted partial documents on 12.3.2015. Since, the export obligation
has not been fulfilled in full the firm has been asked to regularize the excess import vide
this office letter dated 16.03.2015. But the firm had not responded for the same.

7. Show Cause Notice dated 12.04.2016 was issued to the firm and its Directors with
personal hearing on 21.04.2016 at2 pm to 4 pm. ln response to Show cause nobody has

appeared personal hearing on behalf of the firm and also on behalf of its directors. ln

response to PH, the firm has simply sent a letter informing that they have takiirg up the

subject of value addition with PRC Committee, New Delhi by an appeal and requested to
grant two months time. This authorization was issued on 06.04.2011 and the export
obligation period was already expired on 19.09.2011 and further, enough opportunity
and time have already given to the firm. Hence M/s. Chillies Export House Ltd. was placed

under Denied Entities List (DEL) Order dated 05.07.2017.

8. Therefore, ln order to give another opportunity, Show Cause Notice in terms of section

...3/_
 3

14 of the Foreign Trade (Development & Regulation) Act,1992 was issued to M/s.

Chillies Export House Limited and its Directors on 22.4.2019 . But there is no response

9' ln the circumstances, the undersigned is now fully convinced that M/s' chillies Export
House Ltd.. and its directors are guilty of violating the conditions of the authorization in

question thereby liable to a penalty under Section 11 (2) of Chapter lV of Foreign Trade

(Development and Regulation) Act, 1992.

ORDER

ln exercise of powers vested in me vide Notification No. SO (E) dt. 17.4.2009 issued by
DGFT, New Delhi in F.No. 18/27/HAJ06-07/ECA-ll, lhereby impose a penalty of

Rs.15,L0.000/-(Rupees Fifteen Lakhs only) on the Licensee and its directors towards non-

fulfillment of export obligation in full against the subject authorization.

I further order that no further authorization shall be issued to the firm/Company or to

any other firm/Company in which the directors of this Company are directly or indirectly

involved in the day-to-day activities of that firm/Company as per Provisions of

Handbook read with Rule 7(1) of the Foreign Trade (Regulation) Rules, 1993.

This order is issued without prejudice to any other action that may be taken under any

/
(q{. +{il'i-+U N. vAtD ANATHAN)
--,.r qeJ?trr+ frirl arnrr./DEPUTY DIRECTOR GENERAL OF FOREIGN TRADE

To

/s. Chillies Export House Ltd.

No.1B, Patel Road
Virudhunag ar - 626 001

(P T.O)
 -:4:-

Copy to

Directors:

Shri R. Sankararamakrishnan Shri R. Vidhyasagar

Director Director
IV/s. Chillies Export House Ltd. IVls. Chillies Export House Ltd.
8/4 A.A. Road B/33, A.A. Road
Virudhunaqar - 626 001 Virudhunaq ar - 626001
Shri S. Visahan
Director
M/s. Chillies Export House Ltd.
B/4 A.A. Road
Virudhunaqar - 626001

1. The Additional Director General of Foreign Trade, Office of the Additional Director General
of Foreign Trade, 4'h Floor, Shastri Bhavan Annex, 26, Haddows Road, Nungarnbakkam,
Chennai - 600006

2. The Commissioner of Customs, Chennai Sea, Chennai

3. Central Economic Intelligence Bureau, 1*,6'h and Sth Floor, "B"Wing, Janpath Bhawan,
Janpath, New Delhi - 110001

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