1985 (8) TMI 186 - AT - Customs

Summary

Issues:
1. Interpretation of the license for importation of electric typewriters.
2. Determination of whether the imported goods constitute complete typewriters.
3. Examination of the term "semi-knocked down condition" (SKD).
4. Assessment of the validity of the fine imposed for confiscation.
5. Application of Import Control Order 1955 and Customs Tariff Act.

Analysis:

1. The Collector of Customs found that a consignment declared as electric typewriters in semi-knocked down condition was actually complete typewriters, violating the license terms. The goods lacked essential components specified in the license, leading to confiscation under relevant customs laws.

2. The appellant argued that the goods were not complete typewriters but assembled for convenience and required further operations. However, the Tribunal observed that the goods were near complete typewriters, not components in SKD condition as per the license description.

3. The absence of a clear definition for SKD condition led to a debate on the extent of dismantling required. The appellant contended that the goods were in SKD condition based on trade practices, while the respondent emphasized the lack of assembly tools and the near completeness of the imported typewriters.

4. The Senior Departmental Representative defended the fine imposed, highlighting the prohibited nature of the goods and the incomplete assembly. The Tribunal upheld the fine, considering the value of the goods and their prohibited status.

5. The Tribunal referred to the Import Control Order 1955 and the Customs Tariff Act to determine the classification of typewriters. The near completeness of the imported goods aligned with the interpretation that goods nearing final form are classified as the complete article, justifying the prohibition on importation.

In conclusion, the Tribunal dismissed the appeal, affirming the Collector's order due to the near completeness of the imported typewriters, which did not align with the license terms. The fine imposed was deemed appropriate considering the prohibited nature of the goods and their near completion status.