2017 (9) TMI 1208 - AT - Customs

Confiscation - requirement of import license - Held that - the imported material is plastic, waste and scrap and would be covered by the above public notice. This has been confirmed by way of test report of CIPET, Bhopal. Hence, the imported goods require an import licence which was not produced by the appellant - confiscation upheld. It is further seen that the appellants have also mis-declared the value of the imported goods resulting in liability for confiscation in terms of Section 111 (m). Waste and scrap of plastics are appropriately classifiable under CTH 3915 and not under 3901 as claimed by the appellant. Goods also will not be entitled to concessional duty under N/N. 12/2012 dated 17.03.2012. Appeal dismissed - decided against appellant.

Summary

Issues: Classification of imported goods under CTH 3915, requirement of import license, applicability of Notification No.12/2012 Cus., mis-declaration of goods' value, confiscation, and duty liability.

Classification under CTH 3915 and Import License Requirement:
The appeals dealt with the classification of imported mix plastic material and the necessity of an import license. The Department argued for classification under CTH 3915, requiring an import license as per Public Notice No.392(PN) 92-97. The goods were ordered for confiscation due to non-production of the required import license. The test report confirmed the imported material as waste and scrap, falling under the public notice's definition. The absence of an import license led to the goods being liable for confiscation under Section 111(d) of the Customs Act, 1962.

Applicability of Notification No.12/2012 Cus.:
The appellant contended that the imported goods should be classified under CTH 39 01 10 94 and entitled to concessional duty under Notification No.12/2012-Cus. dated 17.03.2012. However, the Department justified the confiscation based on the test report indicating the goods as waste of plastics, requiring an import license. The Tribunal upheld the Department's decision, stating that the goods did not qualify for the concessional duty under the notification.

Mis-declaration and Duty Liability:
The appellants were found to have mis-declared the value of the imported goods, leading to liability for confiscation under Section 111(m) of the Customs Act, 1962. The Tribunal concluded that waste and scrap of plastics should be classified under CTH 3915, not under 3901 as claimed by the appellant. Consequently, the goods were not eligible for the concessional duty under Notification No.12/2012 dated 17.03.2012. The impugned orders were upheld, and the appeals were dismissed on 18.08.2017.