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Issues:
- Mis-declaration of value leading to enhanced Customs Duty, confiscation, redemption fine, and penalty. Analysis: The appellant imported a consignment of 100% Silk fabric and declared a value of Rs. 30 lakhs as the transaction value. The Commissioner of Customs enhanced the value to Rs. 49 lakhs for Customs Duty, citing higher prices of similar goods. The appellant argued that the lower price was due to the consignment being a stock lot, not mis-declaration. The Commissioner confiscated the consignment under Section 111(m) of the Customs Act, imposing a redemption fine of Rs. 25 lakhs and a penalty of Rs. 3.5 lakhs, leading to the present appeal. The appellant's defence reiterated that the declaration was accurate, emphasizing common commercial practices of selling stock lots at discounted prices. Referring to the judgment in Eicher Tractors Ltd. v. CC, Mumbai, the appellant highlighted the acceptance of discounts for various reasons, including stock clearance. The Tribunal reviewed the records and found no evidence supporting mis-declaration. The packing list indicated assorted rolls of varying lengths, with the appellant justifying the lower price due to the nature of stock lots, which was recognized in the Eicher Tractors Ltd. judgment. The Tribunal concluded that the Commissioner's finding lacked evidence or basis in commercial practice. Based on the analysis, the Tribunal held that the impugned order was unsustainable, setting it aside and allowing the appeal with consequential relief to the appellant. The decision emphasized the importance of accurate declaration in line with true facts, rejecting the mis-declaration allegation regarding the consignment's value based on the evidence presented and commercial norms.
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