Procedure for disposal of unclaimed/ uncleared cargo
ON 1.12.2005, Board had issued instructions about disposal cargo unclaimed/uncleared for more than a year. Board circulars obviously have a high readership and the filed had raised certain doubts about disposal of cargo less than a year old. And now the Board has clarified the doubts. Para 4 of the earlier Board circular stated,
For uncleared/ unclaimed goods which are lying for a period less than one year, the custodian would get the reserve price fixed by a panel of Government approved valuers appointed by the Custodian. However, if these goods remain unsold and pass into the category of landed-more-than-one-year-prior, then the custodians can sell the same following the independent procedure without any reference to customs, and adjusting the number of auctions/tenders to which the lot was already subjected to against the prescribed number of four such auctions/ tender. It is re-iterated that for the valuation of goods landed at least one year prior to the date of seeking NOC, Customs should not associate with the valuation of the goods lying uncleared with the custodian, however, both reserve price and bids would be approved by the Customs. This is to ensure that the custodians do not cast the responsibility for unrealistic fixation of the reserve price on customs.
Now this para 4 is amended with the words marked in red above being deleted. This has been done to clearly state the intention behind the para 4 of the Circular No. 50/2005-Cus dated 01.12.2005. Let’s hope the field has better clarity now and will not raise any further questions.
CIRCULAR NO. , Dated : Dec 9, 2005