1999 (2) TMI 82 - HC - Customs

Summary

Issues:
1. Quashing of an impugned order dated 8th November, 1994.
2. Enhanced valuation of imported goods and imposition of penalty.
3. Waiver of pre-deposit condition for filing an appeal.

Analysis:
1. The petitioner sought to quash an order dated 8th November, 1994, which directed payment of a sum if they wished to file an appeal. The High Court noted that no effective steps were taken for recovery of customs duty and penalty despite the order dated 26th April, 1994. The Court emphasized the need for expeditious recovery and decided to waive the pre-deposit condition, ordering the appeal to be heard within two months and disposed of on merits.

2. The petitioner, a company engaged in importing components of photo copying machines, faced an issue regarding the valuation of goods imported from M/s. Toshiba Corporation. The Collector of Customs had initially enhanced the value of the goods and imposed a penalty under the Customs Act, 1962. Despite the petitioner's compliance with a bank guarantee, a subsequent order further increased the value and penalty. The Court considered the lack of departmental appeal against the initial order and the delay in recovery, leading to the waiver of the pre-deposit condition for the appeal.

3. The Court analyzed the sequence of events following the initial order dated 15th November, 1991, where the petitioner was directed to pay additional customs duty. Subsequent developments, including the petitioner's bank guarantee and the lack of departmental action, influenced the Court's decision to waive the pre-deposit condition. The judgment prioritized expeditious resolution and recovery of dues, ensuring that the appeal process proceeds promptly without unnecessary delays or financial burdens on the petitioner.