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CUSTOMS HOUSE AGENTS LICENSING REGULATIONS, 1984 |
M.F. (D.R.)
Notification No.85-Cus, dated 19.03.1984 as amended.
In exercise of the powers conferred by sub-section(2) of section 146 of the Customs Act,
1962 (52 of 1962), the Central Board of Excise & Customs hereby makes the following
regulations, namely: - 1. Short title and
commencement 1. These
regulations may be called the Customs House Agents Licensing Regulations, 1984. 2. They shall
come into force on the date of their publication in the Official Gazette. 2. Definitions. in
these regulations, unless the context otherwise requires.
a. Act means the Customs Act, 1962 (52 of 1962);
b.company means a company as defined in the Companies Act, 1986 (1 of 1956);
c.Custom House Agent means a person licensed under these regulations to act as
agent for the transaction of any business relating to the entry or departure of
conveyances or the import or export of goods at any customs station;
d. firm, firm name, partner and partnership have
the meanings respectively assigned in the Indian Partnership Act, 1932 (9 of 1932), but
the expression partner shall also include any person who, being a minor, has
been admitted to the benefits of partnership;
e.form means a form appended to these regulations;
f.section means a Section of the Act;
g. The expressions Commissioner and Customs Station, shall have
the same meanings as in the Customs Act, 1962 (52 of 1962). 3. Licence where
not required. No
licence under these regulations shall be required by :-
4. Invitation of
application
The Commissioner may invite applications for the grant of
such number of licences as assessed by him, to act as Customs House Agents in the month of
January every year by means of a notice affixed on the notice board of each Customs
Station as well as through publication in at least two newspapers having circulation in
the area of his jurisdiction specifying therein the last date of receipt of application. Such application shall be for clearance work
within the jurisdiction of the said Commissioner. 1. An
application for a licence to act as a Custom House Agent in a Customs Station shall be
made in Form A (See Form No. 47 in part 5) and shall inter alia contain the name and the
address of person applying; and
3. If the
applicant is a company
6. Conditions to
be fulfilled by the applicant The applicant
or the person referred to in clause (b) of sub-regulations (2) and (3) of Regulation 5 as
the case may be, shall prove to the satisfaction of the Commissioner that: (a) the applicant is a
graduate from a recognised University and is an employee of a licensee and that the
possessed a permanent pass in Form G prescribed under regulation 20 and has the experience
of work relating to clearance of goods through the Customs, for a period of not less than
three years in the capacity of such a passholder : Provided that
the Commissioner may relax the possession of permanent pass in Form G to one year for
reasons to be recorded in writing. (b) the applicant has
financial viability supported by a certificate issued by a Scheduled Bank or such other
proof acceptable to the Commissioner evidencing possession of assets of the value of not
less than Rs.1 lakh in the case of applicants for the grant of licence in respect of any
one of the Customs Stations at Bombay, Calcutta, Madras, Cochin, Kandla, Goa, Mangalore,
Tuticorin or Visakhapatnam and not less than Rs.50,000/- in the case of each of the other
Customs Station, situated at places other than those specified above :
Provided that in cases where a Commissioners
jurisdiction extends to more than one Customs Station, the Commissioner may issue one
licence for all the Stations or more that one such Station to be specified in the licence,
waiving the need for separate compliance of the provisions of clauses (a) and (b) above
for such additional Customs Stations. The
Commissioner may also waive the need for separate compliance of the requirement of
Regulation 11 in such cases : Provided
further that in places where there is more than one Commissioner exercising jurisdiction
over different Customs Stations and Custom House Agents licensed under the Custom House
Agents Licensing Regulation 8 from the Commissioner, other that the one who has issued
them the existing licence, without being required to comply with the requirements of
Regulation 6 in regard to financial viability or the requirements as to fresh deposit in
terms of Regulation 11. 7. Scrutiny of
applications for licence
On receipt of application under Regulation 5, the
Commissioner may make enquiries for verification of the particulars set out in the
application and also such other enquiries as he may deem necessary including enquiries
about the reliability of financial status of the applicant.
1. any applicant whose application is received within
the last date specified in Regulation 4 and who satisfies the requirements of Regulation 5
and 6 , shall be permitted to operate as Custom House Agent at the Customs Station for
which the applications made initially for the period of one year against temporary licence
granted by the Commissioner in this regard in Form B (See Form No.48 in Part 5).
Provided that when evidence is produced to the
Commissioner that the applicant has already availed of two chances for qualifying in the
written or oral examination prescribed in these regulations and would like to avail of the
third chance as soon as the next examination is held in terms of Regulation 9 and that the
applicant has been able to account for the minimum volume of work prescribed for such
agents in the course of one years working, the Commissioner may extend the aforesaid
period of one year for which the temporary licence has been granted by another six months
or such further period not exceeding one year to enable the applicant to avail of the thir
chance for qualifying in the examination in terms of Regulation 9. While granting such extension, the Commissioner of
Customs shall satisfy himself that the requirements of Regulation,s 10(1) (a) and 10(1)(b)
had been fully met by the applicant. 2. Any
person, whose application for grant of temporary licence under sub-regulation (1) of
regulation 8 is rejected by the Commissioner of Customs may represent to the Chief
Commissioner of Customs or Chief Commissioner of Customs and Central Excise, as the case
may be against such order rejecting the grant of a temporary licence, within 30 days of
the communication of the impugned order. 3. In
case the number of applicant fulfilling the conditions prescribed under regulation 6 is
more than the number of licences to be issued as assessed under regulation 4, the
Commissioner may adopt seniority in experience as G pass holder of such
applicants as the criterion to give precedence to the applicants:
Provided that if more than one applicant has the same
period of experience, the applicant who is older in age shall get precedence. 9. Examination of
the applicant 1. The holder
of a temporary licence in the case of an individual and the person or persons who will be
actually engaged in the work of clearance of goods through customs on behalf of the firm
or company holding a temporary licence, as the case may be, shall be required to qualify
in examination, at the earliest opportunity. Such
person or persons shall be eligible to appear in the examination as soon as a temporary
licence is granted and shall be permitted to avail of three chances within a period of 2
years from the date of issue of the temporary licence of payment of prescribed examination
fee of (Rs.500/-) for each examination.
2. The examination referred to in sub-regulation (1) shall
include a written and oral examination and will be conducted twice every year. Each applicant would be permitted to avail of a
maximum of three chances to qualify in the said examination but all such chances should be
availed of within a maximum period of 2 years from the date of grant of temporary licence. (Explanation: A person who qualifies in the written examination,
but fails in the oral test linked to it, shall be treated as having failed in that chance;
but he will not be required to appear in the written examination in the subsequent
chances.) 3. The
examination may include questions on the following : - a. preparation
of various kinds of bills of entry and shipping bills; b. arrival
entry and clearance of vessels; c. tariff
classification and rates of duty; d. determination
of value of assessment; e. conversion
of currency; f. nature
and description of documents to be filed with various kinds of bills of entry and shipping
bills; g. procedure
for assessment and payment of duty; h. examination
of merchandise at the Customs Stations; i. provisions
of the Trade of Merchandise Marks Act, 1958 (43 of 1958); j. prohibitions
of import and export; k. bonding
procedure and clearance from band; l. re-importation
and conditions for free re-entry; m. drawback; n. offences
under the Act, o. the
provisions of allied Acts including imports and Exports (control) Act, 1947 (18 of 1947),
Foreign Exchange Regulation Act, 1973 (46 of 1973), Indian Explosives Act, 1884 (4 of
1884), Arms Act, 1959 (54 of 1959), Opium Act, 1879 (1 of 1878), Drugs and Cosmetics Act,
1940 (23 of 1940), Destructive insects and Pests Act, 1914 (2 of 1914), Dangerous Drugs
Act, 1930 (2 of 1930) in so far as they are relevant go the clearance of goods through
customs; p. procedure
in the matter of refund of duty paid, appeals and revision petitions under the Act.
Provided that in the case of
persons deputed to work exclusively in the docks, knowledge of English will not be
compulsory. Knowledge of Hindi will be
considered as a additional or desirable qualification.
5. The holders of a regular
licence under regulation 10 may authorise one of their employees or partners or directors,
to appear for the examination referred to in sub-regulation (1), on behalf of such holders
of regular licence in addition to the person of their agency who has passed the
examination referred to in sub-regulation (1). 10. Grant of regular
licence
The Commissioner shall, on receipt of an application in
Form C (See Form No.49 in Part 5), grant a regular licence in Form D (See Form 50 in Part
5) on payment of a fee of (Rs.5000/-) to such holder of a temporary licence who qualifies
in an examination referred to in Regulation 9 and whose performance is found to be
satisfactory with reference, inter alia, to the following: -
2. The
Customs House Agents who are granted regular licencee under Regulation 10, shall be
eligible to work in all Customs Stations subject to fulfillment of the following
requirements:
Provided
that no separate licence would be required in places where in addition to a Custom House
handling imports by sea, there is also an international airport to handle imports by air
even if under the jurisdiction of a different Commissioner.
3. The Commissioner may reject an application for the grant of
regular licence to act as Custom House Agent if the holder of the temporary licence fails
to qualify in the examination in terms of Regulation 9, or the holder of temporary licence
on evaluation of his performance in terms of Regulation 10 is not considered suitable due
to any other reason to be stated in the order passed by the Commissioner.
4. Any person aggrieved by the order of the Commissioner passed
under sub-regulation (3) of regulation 10 may represent to the Chief Commissioner of
Customs or Chief Commissioner of Customs and Central Excise, as the case may be against
such order within 30 days of the communication of the impugned order.
5. The Chief Commissioner may, on his own motion or otherwise
call for and examine the records of any proceedings in which the Commissioner has passed
any order under sub-regulation (3) for the purpose of satisfying himself as to the
legality, propriety or correctness of such order and may pass such orders as he may deem
fit. No order under this sub-regulation
shall be made so as to prejudicially affect any person unless such person is given
reasonable opportunity for making a representation and being hard in his defence, if he so
desires.
6. No order shall be made under sub-regulation (5) or
sub-regulation (2) of regulations 8 in relation to an order passed by Commissioner under
sub-regulation (3) or sub-regulation (1) of regulation 8, as the case may be, after the
expiry of one year from the date on which such order was passed by the Commissioner. 11. Execution of bond and
furnishing of security 1. Before
granting a temporary licence under Regulation 8 or a regular licence under Regulation 10,
the concerned Commissioner shall require the applicant to enter into a bond in Form E (See
Form No.51 in Part 5) and, if necessary, a surety bond in Form F (See form No.52 in part
5) for due observance of these Regulations and shall also require him to furnish a bank
guarantee, postal security or national Savings Certificate, in the name of Commissioner of
Customs, for an amount of Rs.25,000/ - for carrying out of business of Custom House Agent
at a Customs Station referred to in clause (b) of Regulation 6 and Rs.10,000/- in the case
of other customs stations.
2. Form carrying on of business as Custom House Agents at
more than one customs station failing within the jurisdiction of different Commissioners a
separate bond accompanied by bank guarantee, postal security or National Savings
Certificate shall be required to be executed.
3. If the applicant furnishes postal security or National
Savings Certificate, the same shall be pledged in the name of the Commissioner and the
applicant shall get the benefit of the interest accruing on it. 12. Period of validity of a
regular licence 1. A licence
granted under regulation 10 shall be valid for period of five years, but may be renewed
from time to time in accordance with procedure provided in sub-regulation (2). 2. The
Commissioner of Customs, may, on application made by the licensee, before the expiry of
the validity of the licence under sub-regulation (1), renew the licence for a period of
five years from the date of expiration of the original licence granted under regulation 10
or of the last renewal of such licence, as the case maybe, if the performance of the
licensee is found to be satisfactory with reference, inter alia, to the following : -
13. Licence not
transferable
Every licence granted or renewed under these Regulations
shall be deemed to have been granted or renewed in favour of the licensee and no licence
shall be sold or otherwise transferred. 14. Obligations of Customs
House Agent
A Custom House Agent shall:
15. Change in directors of
company, etc
In case a company holding a licence under Regulation 10,
undergoes any change in the directors, managing director or managers, such change shall be
forthwith communicated by such licensee to the Commissioner. 16. Change in constitution
of any firm or any company In the case
of any firm or company,. Being a licensee, any change in the constitution thereof shall be
reported by the firm or the company, as the case may be, to the Commissioner as early as
possible and any such firm or a company, indication such change shall make a fresh
application to the said Commissioner within thirty days for the grant of licence under
regulation 5 or regulation 10, as the case may be. On the scrutiny of such application the
Commissioner may grant to the firm or a company, as the case may be, a fresh licence of
the category held by the applicant prior to the change in constitution, if there is
nothing adverse against him.
Provided that the existing firm or a company, if it moves
an application to that effect may be allowed to carry on the business of Customs House
Agent till that effect may be allowed to carry on the business of Customs House Agent till
such time as a decision is taken on the fresh application of the firm or the company. 17. Change in the
constitution of a concern 1. Where a licence granted or renewed under these Regulations in favour of a person, not being a firm or a company, changes the constitution of his concern to a firm or a company, such new firm or new company may, pending the grant of a regular licence in accordance with these Regulations, be permitted to act as Custom House Agent with the approval of the Commissioner of Customs. 2.
Notwithstanding anything contained in sub-regulation (1), where a licence granted or
renewed under these Regulations in favour of a person has ceased to be in force because of
the death of that person, his legal heir who has been assisting in the work of clearance
of goods through custom and is employed as such under Regulation 20, may be granted a
licence if there in nothing adverse against him and if he qualifies in the examination
referred to in Regulation 9. 18. Engagement of persons qualified in the examination
referred to in regulation 9, etc. 1. A person
who has qualified in the examination referred to in regulation 9 may engage himself in the
work relating to the clearance of goods through customs on behalf of a firm or a company
licenced under regulation 10 provided that at any given time he shall not so engage
himself on behalf of more than one such firm or company. 2. Any change
in the persons qualified in the examination referred to in regulation 9 and actually
engaged in the work in the customs station on behalf of a licensee firm or company shall
be communicated forthwith by the firm or the company, as the case may be, to the Assistant
Commissioner of Customs or Deputy commissioner of Customs and no new person other that the
one who is qualified in the examination referred to in regulation9 shall be allowed to
work in the customs station as a duly authorised employee on behalf of that firm or
company. 19. Maintenance and
inspection of accounts 1. A licence
required to maintain accounts under these Regulation shall maintain such accounts: (a) in an
orderly and itemised manner and keep them current; and (b) reflect all
financial transactions as Custom House Agent.
2. He shall keep and maintain on file a copy of each of the
documents, such as, bill of entry, shipping bill, transhipment application, etc. and
copies of all his correspondence and other papers relating to his business as custom house
agent. 3. All records
and accounts required to be maintained under these Regulations shall be preserved for at
least five years and shall be made available at any time for inspection of officers
authorised to inspect such reords and accounts. 20. Employment of persons 1. A licence
may, having regard to the volume of business transacted by him, employ one or more persons
to assist him in his work as Custom House Agent. 2. Appointment
of person referred to in sub-regulation (1) shall be made only after obtaining the
approval of the Assistant Commissioner of Customs or Deputy Commissioner of customs
designated by the commissioner for this purpose and in the mater of granting approval, he
shall take into consideration the antecedents and any other information pertaining to the
character of such person. 3. Appointment
of a person referred to in sub-regulation (1) shall be subject to the condition that he
shall, within six months from the date of his appointment, pass an examination conducted
by the said Assistant commissioner of customs or Deputy Commissioner of customs or by a Committee of Officers of Customs to be
appointed by him for the purpose, and the examination shall be such as to ascertain the
adequacy of knowledge of such person regarding the provisions of the statues subject to
which goods and baggage are cleared through the Customs. Provided that
where any person fails to pass the examination within the period referred to in
sub-regulation (3), the Assistant Commissioner of Customs or Deputy Commissioner of
Customs may, by order in writing, permit such person, to appear again for the examination,
but no such order shall be made in favour of a person who had been given the opportunity
to appear for the examination four times. 4.
Notwithstanding anything contained in sub-regulation (3), a person who has worked under a
Custom House Agent and passed the examination referred to in sub-regulation (3), may, on
his appointment under any other Custom House Agent with the approval of the Assistant
Commissioner of Customs or Deputy Commissioner of Customs, be exempted from passing the
examination again. 5. Where the
Custom House Agent has authorised any person employed by him to sign documents relating to
the business of such agent on his behalf, he shall file with the Assistant Commissioner of
Customs or Deputy Commissioner of Customs, a written authority in this behalf and give
prompt notice in writing, if such authorisation is modified or withdrawn. 6. The
Assistant Commissioner of Customs or Deputy Commissioner of Customs shall issue an
identity card to every employee of a Custom House Agent, - (i)
in Form G, in
case he has passed the examination referred to in sub-regulation(3), (ii)
in Form H, in
case he has not passed such examination, (iii)
and every
such person shall, at all times when he transacts the work at the Customs Station, carry
such card with him and produce it for inspection on demand by any officer of the Customs
Station. 7. The Custom
House Agent shall exercise such supervision as may be necessary to ensure the proper
conduct of any such employees in the transaction of business as agent and be held
responsible for all acts or omissions of his employees in regard to their employment. 21. Suspension
or revocation of licence
1. The Commissioner may, subject to the provisions of
Regulation 23, suspend or revoke the licence of a Custom House Agent so far as the
jurisdiction of the Commissioner is concerned and also order for forfeiture of security on
any of the following grounds:- (a) failure of the Custom
House Agent to comply with any of the conditions of the bond executed by him under
Regulation 11; (b) failure of the Custom
House Agent to comply with any of the provisions of these regulations, whether within the
jurisdiction of the said Commissioner or anywhere else; (c) any misconduct on his
part whether within the jurisdiction of the said Commissioner or anywhere else which in
the opinion of the Commissioner renders him unfit to transact any business in the Customs
Station.
2. Notwithstanding anything contained in
sub-regulation (1), the Commissioner may, in appropriate cases, where immediate action is
necessary, suspend the licence of a Custom House Agent where an enquiry against such agent
is pending or contemplated. 22. Prohibition
Notwithstanding
anything contained in Regulation 21, the Commissioner may prohibit any Custom House Agent
from working in one or more sections of the Customs Station, if he is satisfied that such
agent has not fulfilled his obligations as laid down under Regulation 14 in relation to
work in that section or sections. 23. Procedure
for suspending or revoking licence under Regulation 21
1. The Commissioner shall issue a notice in writing to the Custom
House Agent stating the grounds on which it is proposed to suspend or revoke the licence
and requiring the said agent to submit within such time as may be specified in the notice
not being less than forty-five days, to the Assistant Commissioner of Customs or Deputy
Commissioner of Customs nominated by him, a written statement of defence and also to
specify in the said statement whether the Custom House Agent desires to be heard in person
by the said Assistant Commissioner of Customs or Deputy Commissioner of Customs. 2. On receipt
of the written statement from the Custom House Agent, or where no such statement has been
received within the time-limit specified in the notice referred to in sub-regulation (1),
the Assistant Commissioner of Customs or Deputy Commissioner of Customs may inquire into
such on the grounds as are not admitted. 3. The
Assistant Commissioner of Customs or Deputy Commissioner of Customs shall, in the course
of inquiry, consider such documentary evidence and take such oral evidence as may be
relevant or material to the inquiry in regard to the grounds forming the basis of the
proceedings and he may also put any question to any person tendering evidence, for or
against the Custom House Agent, for the purpose of ascertaining the correct position. 4. The Custom
House Agent shall be entitled to cross-examine the persons examined in support of the
grounds forming the basis of the proceedings and where the Assistant Commissioner of
Customs or Deputy Commissioner of Customs declines to examine any person on the grounds
that his evidence is not relevant or material, he shall record his reasons in writing for
so doing. 5. At the
conclusion of the aforesaid inquiry, the Assistant Commissioner of Customs or Deputy
Commissioner of Customs shall prepare a report of the inquiry recording his findings. 6. The
Commissioner of Customs shall furnish to the Custom House Agent a copy of the report of
the Assistant Commissioner of Customs or Deputy Commissioner of Customs and shall require
the Custom House Agent to submit within the specified period not being less than sixty
days any representation that he may wish to make against the findings of the Assistant
Commissioner of Customs or Deputy Commissioner of Customs. 7. The
Commissioner, shall, after considering the report of the inquiry, and the representation
thereon, if any, made by the Custom House Agent, pass such orders as he deems fit. 8. Any Custom
House Agent aggrieved by any decision or order passed under the regulation 21 or
sub-regulation (7) of regulation 23, may appeal under section 129A of the Customs Act,
1962, to the Customs and Central Excise Gold (Control) Appellate Tribunal established
under Section 129(1) of Customs Act, 1962. 24. Grant of
licence no right to accommodation The grant of
a licence under Regulations does not confer any right to accomodation in a Customs
Station. 25. Fixing of
clearance charges
1. The Commissioner may from time to time and in consultation
with the recognised Custom House Agents Association, if any, registered at a Customs
Station, notify the rates that may be charged by a Custom House Agent for his service
rendered in relation to clearance of goods and conveyance through Customs. The Custom
House Agent shall strictly conform to the rates so notified. 2. Each Custom
House Agent shall enrol himself as a member of the Custom House Agents Association
if there is one registered in the Customs Station and recognised by the Commissioner of
Customs. 26. Repeal 1. The Custom
House Agents Licensing Regulations, 1965, are hereby repealed. 2. Notwithstanding such repeal anything done or any action taken under the Custom House Agents (Licensing) Regulations, 1965, shall be deemed to have been done or taken under the corresponding provisions of these Regulations. |