2002 (3) TMI 479 - AT - Customs

Summary

Issues Involved:
Enhancement of transaction value of imported calculators.

Detailed Analysis:

Issue 1: Enhancement of Transaction Value
The appeal involved the enhancement of the transaction value of calculators imported by M/s. SAS Impex. The appellant imported 10,000 calculators of Chinese origin from Singapore, declaring a unit price of Singapore $0.90 per piece. The appraiser proposed to increase the value to US $1.80 based on similar imports. A show cause notice was issued for further enhancement to US $3.35 per piece FOB. The Commissioner confiscated the consignment for mis-declaration, with an option to redeem on payment of a fine and imposed a penalty. The appellant argued that they declared the price as per the invoice received from the supplier and provided evidence of earlier imports. They contended that the price list of another company was not applicable as it was for goods from specific warehouses. They cited legal precedents to support their case and claimed the calculators were not duplicates.

Issue 2: Arguments and Counterarguments
The appellant's advocate argued against mis-declaration, emphasizing the relationship between the supplier and importer in determining prices. They highlighted legal decisions supporting their position. The Respondent, however, contended that the value was enhanced based on contemporaneous imports of the same model at a higher price. They argued that the goods were mis-declared as the brand was not specified, and the actual product differed from the declaration. They justified the penalties imposed by the Commissioner.

Issue 3: Tribunal Decision
The Tribunal considered both sides' submissions and upheld the Revenue's decision to enhance the value based on contemporaneous imports at a higher rate. They noted the lack of evidence from the appellant to prove the goods were duplicates or without auto check. The Tribunal found no reason to disagree with the Commissioner's findings and distinguished the legal precedents cited by the appellant. They concluded that the penalties imposed were justified, as the appellant failed to provide sufficient evidence to support their case. The Tribunal rejected the appeal, finding no merit in the arguments presented.

In conclusion, the Tribunal upheld the decision to enhance the transaction value of the imported calculators, citing contemporaneous imports and lack of evidence from the appellant to substantiate their claims. The legal precedents cited were deemed inapplicable, and the penalties imposed were upheld as justified.