2002 (3) TMI 61 - HC - Customs

Summary

Issues:
Challenging confiscation of goods under Customs Act, 1962 based on import license conditions and classification of Sodium Saccharine as Electroplating Salts and brighteners.

Analysis:
The judgment pertains to writ petitions challenging the order passed by the Collector of Customs, Bombay, confiscating goods under Section 122 read with Section 111(a) of the Customs Act, 1962. The petitioners/importers were given the option under Section 125 of the Act to pay a fine and penalty in lieu of confiscation. The facts of the case involved the import of Sodium Saccharine under a specific Bill of Entry for home consumption, claiming clearance under an import license for electroplating salts and brighteners. The Customs Department rejected the classification of Sodium Saccharine as Electroplating Salts and brighteners, leading to the confiscation of goods and imposition of fines and penalties.

The petitioners argued that Sodium Saccharine should be considered as Electroplating Salts and brighteners, citing a judgment by CEGAT and a public notice that did not exclude Sodium Saccharine from the category. However, the respondents opposed these arguments, highlighting a previous writ petition where similar contentions were raised and dismissed by the Court. The Court noted that Sodium Saccharine was a separate item and could not be deemed to be included in electroplating salts and brighteners as per the import license conditions. The judgment in the previous writ petition operated as res judicata against one of the petitioners, while the other petitioner's petition was considered independently, leading to the dismissal of both petitions for lack of merit.

In conclusion, the Court held that Sodium Saccharine could not be categorized as electroplating salts and brighteners based on the import license description. The petitions were dismissed, and the rule was discharged with no order as to costs. The judgment provides a detailed analysis of the classification issue, the application of res judicata, and the interpretation of import license conditions in determining the admissibility of goods under the Customs Act, 1962.