2017 (11) TMI 307 - AT - Customs

Redemption fine - penalty - Import of used Digital Multifunction Machines - restricted item - Held that - Since the decision of the Tribunal in the case of Shivam International 2013 (3) TMI 408 - CESTAT BANGALORE wherein identical issue was involved has been upheld by the jurisdictional High Court of Kerala therefore in my considered view that the used Digital Multifunction Machines imported by the appellants in various appeals are concerned the imposition of redemption fine and penalties on the appellants is not sustainable in law - redemption fine and penalty set aside. Import of analogue photocopiers - Held that - With regard to this item no finding has been given in favour of the appellants. Therefore with regard to analogue photocopiers the concerned appellants are liable to pay redemption fine and penalty. Appeal allowed in part.

Summary

Issues: Appeals against rejection of appeal by Commissioner of Customs (Appeals) regarding redemption fine and penalty.

Analysis:
1. Common Issue in Appeals: All 11 appeals were filed against different impugned orders rejecting appeals by the Commissioner of Customs (Appeals). The issue common to all appeals was the redemption fine and penalty imposed.

2. Facts of the Case: The case involved the import of goods by the appellants, including analogue photocopiers and digital multifunction machines. The appellants requested release of goods due to urgent need, but the Additional Commissioner imposed redemption fine and penalty, leading to the appeal.

3. Legal Arguments: The appellants argued that the impugned orders were erroneous and contrary to law. They highlighted the distinction between photocopying machines and digital multifunction machines, citing relevant customs tariff classifications and previous tribunal judgments.

4. Jurisdictional High Court's Decision: The High Court upheld a previous tribunal decision regarding the classification of digital multifunction machines, supporting the appellants' position and dismissing the Revenue's appeal.

5. Tribunal's Decision: After considering submissions and case laws, the Tribunal found in favor of the appellants regarding the redemption fine and penalties on the digital multifunction machines. However, for analogue photocopiers in three appeals, the appellants were directed to pay specified redemption fines and penalties within a month.

6. Conclusion: The Tribunal set aside redemption fines and penalties for digital multifunction machines based on the High Court's decision. Different outcomes were noted for analogue photocopiers, where fines and penalties were upheld. All appeals were disposed of accordingly.

7. Final Order: The appellants were directed to pay specified redemption fines and penalties within a month. The Tribunal's decision was pronounced on 18.09.2017.