Customs Forms

Form-I

General Bond (with Surety/ Security) to be executed by a Special Economic Zone Unit.

WE………………having our registered office at ……… hereinafter referred to as the Obligors and…………called the surety (ies)(which expression shall, unless repugnant to the context or meaning thereof, include our heirs, successors, executors, administrators, liquidators, legal representatives and assignees) hereby hold and firmly bind ourselves jointly and severally unto the President of India, hereinafter referred to as ‘the Government’ in the sum of Rs…__________Rupees______________only) for which payment to be well and truly made, we, the obligors, bind ourselves by these presents.

WHEREAS we the obligors have been granted by the Government a letter of permission for setting up a unit in special economic zone for purposes of carrying out authorised operation specified in the letter of permission and for export of goods and services out of India on the terms and conditions stipulated in the letter of permission number _________dated_______and we the obligors have duly accepted the said terms and conditions.

AND WHEREAS the Assistant Commissioner of Customs or Deputy Commissioner of Customs of _______special economic zone has authorised the premises at ………………as special economic zone unit wherein the dutiable goods, imported or sourced indigenously or sourced from other export oriented undertaking, software technology park units or electronic hardware technology park unit or special economic zone unit in the same zone or other special economic zone by us from time to time for manufacture of goods or services as aforesaid could be deposited for a period of 5 years without payment of duty.

AND WHEREAS the said Assistant Commissioner of Customs or Deputy Commissioner of Customs has permitted the obligor to clear duty free imported goods from ports or airports or inland container depots or specified land custom stations or customs warehouses or international exhibition held in India, as the case may be, for admission into the special economic zone.

AND WHEREAS the Assistant Commissioner of Customs or Deputy Commissioner of Customs has permitted the obligors to remove the said goods or goods manufactured or produced from the said unit without payment of duty and despatch the same by air, sea, rail or road, courier or post for export to foreign countries without payment of duty and when required bonafide to do so, or to other export oriented undertaking or to electronic hardware technology park unit or to software technology park unit or to other special economic zone unit subject to the prescribed conditions set out for the due arrival of the said goods at the said export oriented undertaking, or a the electronic hardware technology park unit or at the software technology park unit or at the special economic zone unit.

AND WHEREAS the Assistant Commissioner of Customs or Deputy Commissioner of Customs has permitted the obligor to remove the goods imported or sourced domestically or goods partially manufactured or processed therefrom to any other place in India without payment of duty subject to such conditions and limitations as may be specified by him, for the purpose of test, repairs, calibration, re-engineering, re-conditioning or display and to be returned to the unit thereafter.

AND WHEREAS the Assistant Commissioner of Customs or Deputy Commissioner of Customs has permitted provisional assessment of goods brought into the special economic zone or manufactured by the above Obligors from time to time which could not be finalised for want of full information as regard to value description or quality or the proof thereof or for the non-completion of the chemical or other tests in respect thereof or otherwise at the request of the obligor.

AND WHEREAS the Assistant Commissioner of Customs or Deputy Commissioner of Customs or such other delegated authority, as the case may be, has required the obligor to deposit as security for the amount of this bond, the sum of Rs……………………(Rupees…………………………………only) endorsed in favour of the President of India and accepted for and on behalf of the President of India by the Commissioner, Deputy Commissioner, Assistant Commissioner, Superintendent of Customs, namely,_________and whereas the obligor has furnished such guarantee by depositing the cash or securities as aforesaid.

NOW THE CONDITIONS OF THE ABOVE WRITTEN BOND ARE THAT:

1. We, the obligors, shall observe all the provisions of the Customs Act, 1962 and the rules and regulations made thereunder in respect of the said goods.

2. We, the obligors, shall pay on or before a date specified in a notice of demand all duties, rent and charges claimable on account of the said goods under the Customs Act, 1962 and rules or regulations made thereunder together with interest on the same from the date so specified at the rate applicable.

3. We, the obligors, shall discharge all duties and penalties imposed for violation of the provisions of the Customs Act, 1962, rules and regulations in respect of the said goods not removed within five years from the date of the order permitting the deposit of the said goods at the said unit, and also pay interest at a rate applicable from the expiry of the above said period till the date of the clearance of the goods.

4. We, the obligors, shall furnish to the Assistant Commissioner of Customs or Deputy Commissioner of Customs as the case may be, at port or air-port or inland container depot or land customs station or a warehouse evidence to his satisfaction with a period of three months from the date of despatch from any warehouse or unit that the said goods have duly arrived at the unit in the special economic zone.

5. We, the obligors, shall be wholly and solely responsible for ensuring that there shall be no pilferage during transit of the said goods when dispatched from the place of Import, the factory of manufacture or from the warehouse to the unit in the special economic zone and vice versa and we, the obligors, shall pay the duty on pilfered goods, if any.

6. We, the obligors, shall maintain detailed accounts of all goods used in the manufacturing processes and operations in proper from including of those remaining in stock and those sent outside the special economic zone in the domestic tariff area under our obligation, and shall produce such accounts for inspection of the proper officer or Assistant Commissioner of Customs or Deputy Commissioner of Customs or such other delegated authority as the case may be, when directed by him.

7. We, the obligor, shall achieve positive net foreign exchange earning and fulfill other conditions stipulated in the Customs Act, Rules and Regulations, and Export and Import Policy as amended from time to time; and in case of failure to achieve the positive net foreign exchange earning as stipulated in the Export and Import Policy in force for the time being, pay duty alongwith interest as provided in the Customs Act, 1962 and rules or regulations made thereunder as the case may be.

8. We, the obligors, shall if the goods including manufactured or produced goods, are allowed to be sold in India subject to such other limitations and conditions as may be specified in this behalf in the Export and Import Policy and in the ITC (HS) classifications of Export and Import Items, 2002-2007 as amended from time to time, issued by the Ministry of Commerce and Industry in the Department of Commerce by publishing a notification in the official Gazette of India, pay duties as per provisions of chapter X A of the Customs Act, Rules and Regulation as the case may be.

9. We, the obligors, shall comply with the conditions and limitations stipulated, in the Export and Import Policy as amended from time to time or by the Assistant Commissioner of Customs or Deputy Commissioner of Custom permitting the goods admitted in the unit in the special economic zone or the articles manufactured or package therefrom to be taken outside the special economic zone unit into domestic tariff area temporarily, without payment of duty, for the purposes of testing repairs reconditioning, processing or display etc.

10. We, the obligors, shall not change the name and style under which we, the obligors, are doing business or change the location of the manufacturing premises except with the written permission of the Assistant Commissioner of Customs or Deputy Commissioner of Customs at____ special economic zone.

If each and every one of the above conditions is duly complied with by us, the obligors, the above written bond shall be void and of no effect, otherwise the same shall remain in full force and effect and virtue.

It is hereby declared by us, the obligors and the Government as follows –

1. The above written bond is given for the performance of an act in which the public are interested.

2. The Government through the Commissioner of Customs or any other officer of Customs recover the sums due from the obligors in the manner laid down in sub-section (1) of section 142 of the Customs Act, 1962.

Provided always that the liability of the surety hereunder shall not be impaired or discharged by reason of any time being granted or any forbearance, act or omission of the Government (whether with or without the knowledge or the consent of the surety) in respect of or in relation to the obligation and condition to be performed or discharged by the obligor(s) nor shall it be necessary to sue the obligor(s) before suing the surety for amounts hereunder.

AND the President of India shall, at his option, be competent to make good all the loss and damages from the amount of the security deposit or by endorsing his rights under the above written bond or both;

I/WE further declare that this bond is given under the orders of the Central Government in the performance of an act in which the public are interested;

In these presents the words imposing singular only shall also include the plural and vice versa where the context so requires;

IN WITNESS WHEREOF these presents have been signed this day…………………of……………20__ hereinbefore written by the obligor(s) and the surety (ies).

Place
Date

Signature of the Obligor
Name and Residential address

Signature of the Surety
Name and Residential address

Accepted for and on behalf of the President of India on _____ day of ____ 20_______.

Signature and date
Name________________
Designation____________________

ACCEPTED for and on behalf of the President of India on ……..day of …………………..19……….