Customs cannot cancel or question MEIS Licenses Without Prior Action by DGFT: CESTAT

Customs cannot cancel or question MEIS licenses without prior action by DGFT: CESTAT. This significant ruling clarifies the jurisdictional boundaries between Customs and DGFT (Directorate General of Foreign Trade) regarding export incentive schemes like MEIS (Merchandise Exports from India Scheme). The CESTAT (Customs, Excise, and Service Tax Appellate Tribunal) emphasized that Customs authorities cannot unilaterally invalidate MEIS licenses; any such action must be preceded by a decision or action from the DGFT, which is the issuing authority. This ensures procedural propriety and prevents arbitrary cancellations.