CUSTOMS, EXCISE AND SERVICE TAX APPELLATE TRIBUNAL CHANDIGARH REGIONAL BENCH - COURT NO. I Customs Appeal No. 60029 of 2026 [Arising out of Order-in-Original No. 08/2025-26 dated 09.12.2025 passed by the Commissioner of Customs, Ludhiana]

M/s Prenda Creations Pvt Ltd ……Appellant

306, Industrial Area-A, Ludhiana 141003 VERSUS Commissioner of Customs, Ludhiana ……Respondent Customs House, G.T. Road, Sahnewal, Ludhiana, Punjab 141120 APPEARANCE:

Shri Saurabh Kapoor, Advocate for the Appellant Shri Saurabh Goel and Shri Naman Jain, (Special Counsels) Authorized Representative for the Respondent CORAM: HON’BLE MR. S. S. GARG, MEMBER (JUDICIAL) HON’BLE MR. P. ANJANI KUMAR, MEMBER (TECHNICAL)

FINAL ORDER NO. 60288/2026 DATE OF HEARING:23.02.2026 DATE OF DECISION:07.04.2026 S.S. GARG:

The present appeal is directed against the Provisional release Order No. 08/2025-26 dated 09.12.2025 passed by the learned Commissioner, wherein, the learned Commissioner of Customs has ordered for provisional release of imported goods comprising of 'Roasted Areca Nuts' Split falling under CTH 20081920 imported vide Bill of Entry No. 8178899 dt. 04.02.2025. The Ld. Commissioner of Customs vide the impugned order has imposed the following conditions:-

(i) The importer shall furnish a Bond equal to the assessable value of the impugned goods i.e. Rs. 3,04,62,312/- (Rupees Three Crore Four Lakh Sixty Two Thousand Three Hundreed Twelve Only) to bind himself to pay in case of any duty demand /fine/ penalty interest as may be leviable on such goods, subsequently in adjudication in the light of Para 2.1 of Board's Circular No. 35/2017-Cus dated 16.08.2017.

(ii) In addition, the importer shall furnish a Bank Guarantee/Security (containing clause binding the issuing Bank to keep it renewed and valid till payment of full liability in this case, or in the even of non-renewal of bank guarantee, the guaranteed amount be credited to Govt. Account by the bank on its own) of Rs. 7,70,84,881/- (Rupees Seven Crore Seventy Lacs Eighty Four Thousand Eight Hundreed Eighty One Only) as security covering payment of any possible future liabilities of Duties/penalties/ fines against the said goods in the light of Para 2.2 of Board Circular No. 35/2017-Cus Dated 16.08.2017."

2. Briefly the facts of the present case are that the appellant during the course of business for import of Food Items in order to import "Roasted Areca Nuts" from Indonesia applied for Advance Ruling u/s 28 H of the Customs Act, 1962 before the Authority for Advance Ruling, wherein the Ruling was issued in favour of the appellant vide Advance Ruling dated 28.06.2024 as reported in (2024) 23 CENTAX 325 (A.A.R.-Cus-Del). Further, the appellant was granted permission to import "Roasted Beetle Nuts" vide Advance Ruling issued by the Competent Authority and during the course of business, imported 40 Containers of "Roasted Areca Nuts" from its suppliers namely "Pt. Sasco Karya Mandiri", Indonesia, PT. DVS Inter Kontinental, Jakarta, Pt. Cahaya Auriga Amerta Indonesia and PT. Sayuti Tijarah Amanah, Indonesia.

2.1 For the purposes of Import of Food Items namely "Roasted Beetle Nuts" the appellant fulfilled all the conditions namely, furnishing the certificate of fitness of the food items and Fumigation of the imported goods before the goods were exported to India along with certificate of phytosanitary certificates; thereafter, the appellant on the basis of the import documents filed Self Assessed Bill of Entry u/s 46 of the Customs Act, 1962 before the Department along with the "Certificate of Origin" issued by the Indonesian Government wherein, all the particulars in respect of imported consignment was mentioned. The appellant claimed exemption in terms of Notification No. 103/2010-Cus dated 01.10.2010 wherein exemption was provided to the said goods.

Thereafter, the department drew two samples from the said consignments vide test Memos No. 1278492 dated 27.05.2025 and sent one sample for testing to CRCL New Delhi and CRCL