2008 (1) TMI 213 - AT - Customs

Confiscation of aluminium scrap - goods were declared as aluminium scrap of Trump grade - on examination in the Dock, it was revealed they were unserviceable aluminium wheels of Troma grade and not Trump grade - goods in question were not falling within any of the grades permitted to be imported freely, as per Exim Code 7602 of ITC(HS) - since the importers did not have a licence to cover the goods in question, confiscation & redemption fine are justified

Summary

Issues: Misdeclaration of goods, Classification under ISRI specification, Confiscation of goods, Redemption fine, Penalty

In this case, the appellant imported aluminium scrap declared as 'Trump' grade, but upon examination, it was found to be unserviceable aluminium wheels of "Troma" grade, not falling within the permitted grades for free import. The goods were confiscated with an option for redemption on payment of a fine and penalty. The examination reports confirmed the misdeclaration, and the partner of the importer admitted the correct classification under ISRI specification "Troma." The department established the misdeclaration, leading to the rightful confiscation of the goods. The appellant's reliance on a pre-shipment inspection certificate showing Trump grade was dismissed as the actual examination revealed Troma grade, unchallenged in the reports. The value of the consignments justified the quantum of redemption fine and penalty, leading to the upholding of the impugned order and the rejection of the appeal.