2004 (8) TMI 155 - AT - Customs

Summary

Issues:
1. Confiscation of imported goods due to lack of license.
2. Classification of Lovage (Ajwain) as a restricted item.
3. Import valuation discrepancies.

Confiscation of Imported Goods:
The appellant imported Lovage (Ajwain) from Pakistan, leading to confiscation by Customs for lacking an import license. The adjudicating authority later released the goods with a redemption fine and personal penalty. The appellant argued that the goods were imported from a SAARC country and thus not restricted.

Classification of Lovage (Ajwain):
The Commissioner (Appeals) initially dismissed the appeal, stating Lovage and Ajwain are the same, and the appellant failed to prove the goods were not restricted. The appellant presented a certificate from SAARC confirming the goods' origin in Pakistan. The Tribunal found that Lovage imported from SAARC countries is not restricted, supporting the appellant's claim.

Import Valuation Discrepancies:
Regarding valuation, the appellant's goods were valued lower than contemporaneous imports. The Customs authorities enhanced the value based on other importers' prices. The Tribunal noted the appellant's evidence of two shipping bills declaring the value within a specific range, which was not disputed by Customs. As similar imports were accepted at the declared value, the Tribunal deemed the valuation enhancement unsustainable. Consequently, the redemption fine and penalty were overturned, and the appeal was allowed.