2004 (1) TMI 409 - AT - Customs

Summary

Issues:
- Import of second-hand Mitsubishi car for clearance and benefit of Public Notice
- Confiscation and penalty imposition due to vehicle ownership dispute
- Conditions for import under Public Notice and relevance of ownership
- Tribunal's interpretation of conditions for import and decision on the case

Import of Second-Hand Car:
The appellant, an importer of a second-hand Mitsubishi car returning from Dubai, sought clearance and benefits under a Public Notice. Authorities refused, citing non-ownership of the vehicle, leading to confiscation and penalties. The Counsel argued that the notification did not require the vehicle to be registered in the appellant's name, referencing a similar case before the Mumbai Bench. The Tribunal noted two key conditions for import: no foreign exchange remittance from India and a no-sale condition for 2 years.

Confiscation and Penalty Imposition:
The department upheld the confiscation and penalties, reiterating their stance. However, the Tribunal, after reviewing the Public Notice, emphasized that ownership registration was not a prerequisite for import under the policy. The Tribunal referenced a previous case to support its interpretation that ownership was irrelevant as long as the conditions of stay abroad and duty payment in foreign exchange were met.

Conditions for Import and Ownership Dispute:
The Tribunal's majority order concluded that the appellant met the conditions for import without confiscation or penalties. The appellant was directed to clear the vehicle based on endorsements in the Passport by Customs Authorities and Registration Certificate by Road Transport Authorities. The Tribunal emphasized that ownership was not a condition for import under the Public Notice, granting relief to the appellant and allowing the appeal without redemption fines or penalties, except for the required duty payment.

Tribunal's Decision:
The Tribunal's decision favored the appellant, allowing the import of the car without penalties or confiscation. The Tribunal clarified the conditions for import under the Public Notice, highlighting the irrelevance of ownership registration. The appellant was directed to clear the vehicle based on specified endorsements, providing consequential relief and emphasizing compliance with duty requirements.