#Procedural Violation

CESTAT Bangalore rules that mere delay in ISO certification compliance under DFIA/Advance Authorization schemes does not justify denial of duty benefits unless fraud or diversion is proven. The tribunal sets aside duty demands and penalties, reinforcing that procedural non-compliance alone cannot vitiate substantive export incentives.

CETAT holds that confiscation under Section 111(d) of Customs Act is unjustified for procedural BIS registration lapse absent mens rea, setting a precedent for proportionality in enforcement.