2015 (7) TMI 1332 - HC - Customs

Issuance of speaking order - assessment of the aluminium scrap covered by Bills of Entry Number and Dates as specified in the Annexure to the writ petitions - Valuation of imported goods - enhancement of value - HELD THAT - This Court finds no embargo to direct the third respondent-The Deputy Commissioner of Customs, to pass a speaking reasoned order. Accordingly, the third respondent is directed to pass a speaking reasoned order under Section 17(5) of Customs Act in respect of assessment of aluminium scrap covered by Bills of Entry specified by the petitioner-firm, within a period of one week from the date of receipt of a copy of this order. Petition disposed off.

Summary

Issues:
Seeking direction for a speaking order for assessment of imported aluminium scrap.

Analysis:
The petitioner, a firm engaged in import business, imported aluminium scrap from various countries. The unit price was declared based on sales contracts, but the third respondent, Deputy Commissioner of Customs, enhanced the value without providing evidence. The petitioner sought clearance to avoid charges and requested a speaking order under Section 17(5) of the Customs Act from the first respondent. After no action, the petitioner filed a writ petition. The High Court directed the third respondent to pass a speaking reasoned order within one week for the assessment of the aluminium scrap covered by the specified Bills of Entry.

This judgment highlights the importance of providing a speaking reasoned order in customs assessment cases. It emphasizes the need for transparency and justification in value enhancements made by customs authorities. The Court's decision ensures that the petitioner's rights are upheld, and due process is followed in assessing imported goods. The directive to the third respondent to issue a speaking order under Section 17(5) of the Customs Act within a specified timeline demonstrates the Court's commitment to ensuring fair treatment and procedural correctness in customs assessments. The disposal of the writ petition with the observation of no costs indicates that the Court found merit in the petitioner's plea for a speaking order, emphasizing the significance of proper assessment procedures in import-related matters.