Directorate General, Foreign Trade had permitted conversion of S/ Bills filed under Duty Exemption Scheme to Pass Book Scheme subject to conditions specified in their Circular No. 21/95 dated 4th October, 1995. The said circular permits conversion of only those Shipping Bills which were filed on or after 30th May, 1995, the date on which Customs Notification No. 104/95-Cus was issued making the Pass Book Scheme operational. Reports have been received from the trade that conversion of such Shipping Bills in not being permitted by the Customs authorities.

2.    The matter has been examined in the Board. Whenever a request is received from a Pass Book holder for conversion of shipping Bill filed on or after 30th May, 1995 under DEEC Scheme to Pass Book Scheme, conversion may be considered only if the Advance Licence issued to the exporter has not been utilised at all, and is surrendered to the Licencing authorities and evidence to this effect is produced. Credit against such shipping Bills should be allowed only if Assistant Commissioner of Customs is satisfied that condition of the Pass Book Scheme have been fulfilled.