2011 (8) TMI 934 - AT - Customs

Notification No. 21/2002-Cus - The contention of the appellant is that the condition under the Exim Policy is only of technical nature and the appellant is entitled for release of the motorcycle - It is an admitted fact in the present case that the motorcycle has been imported from USA whereas the same has been manufactured in Japan - As per condition of the Exim Policy as reproduced above the condition is that the vehicle is to be imported from the country of manufacture - Appeal is dismissed

Summary

Issues:
1. Denial of benefit of Notification No. 21/2002-Cus.
2. Confiscation of imported motorcycle in SKD condition.
3. Violation of Exim Policy conditions.
4. Requirement of Type Approval Certificate.
5. Interpretation of relevant Exim Policy conditions.

Analysis:
1. The appellant appealed against an order denying the benefit of Notification No. 21/2002-Cus. and confiscating an imported motorcycle in SKD condition for violating the Exim Policy. The adjudicating authority found that the importer failed to provide the necessary Type Approval Certificate and imported a motorcycle from the USA, contrary to the country of manufacture, Japan.

2. The appellant argued that the Exim Policy condition was merely technical and relied on past court decisions where the absence of a Type Approval Certificate did not prevent release. However, the respondent contended that the vehicle must be imported from the country of manufacture, accompanied by a Type Approval Certificate, as per the Exim Policy.

3. The Exim Policy mandates that new vehicles must meet specific conditions, including being imported from the country of manufacture and having a valid Type Approval Certificate. The appellant's motorcycle, imported from the USA but manufactured in Japan, failed to comply with these requirements, leading to the denial of the benefit and confiscation.

4. The Tribunal noted that the appellant's reliance on past judgments was misplaced, as those cases involved only the absence of a Type Approval Certificate. In this case, the violation extended to importing the motorcycle from a different country than the manufacturer, constituting a clear breach of the Exim Policy conditions.

5. Ultimately, the Tribunal upheld the impugned order, dismissing the appeal due to the appellant's failure to comply with the Exim Policy conditions regarding the country of manufacture and the Type Approval Certificate. The judgment emphasized the importance of adhering to all relevant import regulations to avoid confiscation and penalties.