(1) The owner of goods seeking  compensation pursuant to Section 69 of the Act, shall submit an application, to the customs office or the operator of the go-down stating the clear reasons thereof, for compensation along with the documents to prove the claim.
(2) Upon receiving the application pursuant to Sub-rule (1), such  application shall be examined and if it is found that the compensation needs  to be provided, decision shall be taken to provide compensation to the total  amount of price quoted in the invoice and five percent addition to the price quoted.
(3) In case of imported goods deposited in the go-down operated by  the other person pursuant to Sub-rule (2), and in a condition of  compensation provided by such person, an amount equivalent to the  customs duty shall be deposited at the concerned customs office within  Seven days of receiving the compensation.