Ferrari controversy (July 2003)
In commemorating Sachin Tendulkar's feat of equalling Don Bradman's 29 centuries in Test cricket, automotive giant Ferrari invited the master batsman to its paddock in Silverstone on the eve of the British Grand Prix in July 2002.
Tendulkar was also gifted a Ferrari 360 Modena from legendary Formula One driver Michael Schumacher.
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In September the same year, Tendulkar applied for exemption from customs duty and India's then Finance Minister Jaswant Singh wrote back to the Mumbai batsman telling him that the government would waive the duty imposed on importing the car in appreciation of his recent feat.
But it was in sharp contrast to the existing rules at the time which stated that customs duty can be waived only when receiving an automobile as a prize and not as a gift.
It is claimed that the proposals to change the law (Customs Act) were put forth in the Financial Bill in February 2003, amended and passed as a law in May 2003. Subsequently, the Ferrari was allowed to be brought to India without payment of the customs duty, which amounted to Rs 1.13 crore or 120 per cent of the car value of Rs 75 lakh.
However, when the move to waive customs duty became public in July 2003, there was a huge outcry in India with huge protests against the waiver. There was also a PIL filed in the Delhi high court, which questioned how the duty was waived.
With the controversy becoming a huge issue, Tendulkar promptly offered to pay the customs duty. Fiat, owners of Ferrari, stepped in and agreed to pay the import duty and thereby brought an end to the controversy.
Image: Tendulkar with Ferrari technical manager Ross Brawn
Celebrating Sachin
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