2022 (9) TMI 1227 - AT - Customs

Seeking provisional release of seized goods - import of used Digital Multifunctional Printers / Devices (MFDs) - non-compliance with the provisions of Domestic laws under the Bureau of Indian Standards (BIS) Act, 2016 read with the Electronics and Information Technology Goods (Requirements for Compulsory Registration) Order (CRO), 2012 - failure to obtain DGFT authorization as required for the import of second hand goods, as required under paragraph 2.31 of the FTP, 2015-20 - non-production of Chartered Engineer certificate in complete - failure to comply with the conditions imposed under the Hazardous and Other Wastes (Management and Transboundary Movement) Rules, 2016 - HELD THAT - Reliance placed in the case of THE COMMISSIONER OF CUSTOMS, CHENNAI VERSUS M/S. KUTTY IMPEX 2022 (9) TMI 1049 - CESTAT CHENNAI , wherein it was held that the First Appellate Authority was correct in allowing the appeal thereby ordering provisional release of the goods in question, and since there is no change in the facts, the same is required to be followed in the case on hand as well. Following the above ratio decidendi, therefore, the appeals of the Revenue are dismissed.

Summary

Issues:
- Compliance with domestic laws under the Bureau of Indian Standards (BIS) Act, 2016 and Electronics and Information Technology Goods (Requirements for Compulsory Registration) Order (CRO), 2012
- Requirement of DGFT authorization for the import of second-hand goods under FTP, 2015-20
- Production of Chartered Engineer certificate for compliance with Hazardous and Other Wastes (Management and Transboundary Movement) Rules, 2016
- Customs valuation and re-determination of the value of imported goods
- Confiscation of goods declared as 'Old & Used Digital Multifunction Print and Copying Machines'
- Imposition of redemption fine and penalty under the Customs Act, 1962
- Provisional release of impugned goods based on previous legal precedents

Compliance with Domestic Laws and Regulations:
The Adjudicating Authority found that the respondent failed to comply with the provisions of domestic laws under the BIS Act, 2016, and the CRO, 2012. Additionally, the respondent did not obtain DGFT authorization as required for the import of second-hand goods under the FTP, 2015-20. The non-compliance led to the re-determination of the value of imported goods and confiscation under the Customs Act, 1962.

Production of Chartered Engineer Certificate:
The respondent also failed to produce the Chartered Engineer certificate in complete and proper form, as advised by the Department. This failure resulted in non-compliance with the conditions imposed under the Hazardous and Other Wastes (Management and Transboundary Movement) Rules, 2016.

Customs Valuation and Confiscation of Goods:
The Adjudicating Authority re-determined the value of the imported goods and confiscated units declared as 'Old & Used Digital Multifunction Print and Copying Machines.' This action was taken under Sections 111(d) and 111(m) of the Customs Act, 1962, due to contravention of import provisions.

Redemption Fine and Penalties:
In addition to confiscation, redemption fines and penalties were imposed on the importer under various sections of the Customs Act, 1962. The fines and penalties were levied for non-compliance with import procedures and for rendering the goods liable for confiscation.

Provisional Release of Impugned Goods:
The First Appellate Authority allowed the appeals filed by the respondent, ordering provisional release of the impugned goods. This decision was based on legal precedents, including a case before the CESTAT and a decision of the Hon'ble Apex Court. The Tribunal dismissed the appeals of the Revenue, following the established legal principles and precedents.

This detailed analysis of the judgment covers the issues of compliance with domestic laws, production of necessary certificates, customs valuation, confiscation of goods, imposition of fines and penalties, and the provisional release of impugned goods based on legal precedents.