2009 (1) TMI 648 - AT - Customs

Summary

Issues involved: Import of rough marble blocks with specific import license, violation of licensing conditions, confiscation of goods, enhancement of prices by the Commissioner, reduction in floor price, redemption fine, penalty imposition.

Import of Rough Marble Blocks and Licensing Conditions:
The appellant imported rough marble blocks with a specific import license issued in accordance with a Policy Circular. The Commissioner found the import to be in violation of the license condition and enhanced the prices declared by the appellant.

Reduction in Floor Price and Assessment:
The appellant argued for the benefit of a revised lower floor price due to a subsequent Policy Circular reducing the floor price. The Tribunal considered the reduction in international prices and held that the prices declared by the appellant should be accepted for assessment, as they were below the floor price ruling during the import period.

Confiscation, Redemption Fine, and Penalty Imposition:
The Tribunal upheld the confiscation of goods for license violation but reduced the redemption fine and penalty imposed by the Commissioner. For one appeal, the redemption fine was reduced from Rs. 50 lakhs to Rs. 10 lakhs, and the penalty was reduced from Rs. 12.5 lakhs to Rs. 3 lakhs. In another appeal, the redemption fine was reduced from Rs. 10 lakhs to Rs. 1.5 lakhs, and the penalty was reduced from Rs. 2.5 lakhs to Rs. 75,000.

Final Disposition:
The Tribunal disposed of the appeals by reducing the redemption fines and penalties while accepting the declared values for assessment. The confiscation of goods was upheld, but with reduced financial penalties. The Tribunal ordered a dasti order for the release of goods held by Customs.