2004 (10) TMI 413 - AT - Customs

Summary

Issues: Rectification of mistake apparent from the record in the final order regarding excess duty paid on imported components.

In this judgment by the Appellate Tribunal CESTAT, CHENNAI, the issue revolved around rectifying a mistake apparent from the record in Final Order No. 702 & 703/2003, dated 9-9-2003, concerning the demand of duty on imported goods. The appeals challenged a duty demand of Rs. 16,73,368 based on the classification of components under various entries in the Customs Tariff. The department proposed individual classification of components, which was affirmed by the Commissioner and upheld by the Tribunal in the final order. However, the excess duty paid on some components, amounting to Rs. 2,78,009, was not adjusted in the final order, leading to the need for rectification. The Tribunal acknowledged the mistake as pointed out by the Counsel and conceded by the SDR, agreeing that the excess duty paid on certain items should have been considered while finalizing the demand on the consignment.

The Tribunal, after careful consideration, substituted a paragraph in the final order to rectify the mistake. The new paragraph directed the Commissioner to re-quantify the demand of duty on the subject goods by adjusting the excess payments of Rs. 2,78,009 against the total duty demand. The Tribunal noted that this plea of the appellants was uncontested by the respondent, emphasizing the need to appropriate the excess amount towards the duty demand. The Tribunal highlighted that the exact figure of duty on the subject goods needed verification by the Commissioner, and thus, directed the re-quantification for recovery purposes. The rest of the impugned order was sustained with modifications related to fine and penalty, ultimately disposing of the appeal.

In conclusion, the judgment allowed the application for rectification of the mistake apparent from the record in Final Order Nos. 702 & 703/2003, dated 9-9-2003, by amending the order to adjust the excess duty paid on imported components against the total demand of duty on the consignment.