1983 (12) TMI 177 - AT - Central Excise

Summary

Issues:
1. Late submission of appeal and request for condonation of delay.
2. Interpretation of import policy and classification of imported goods.
3. Reduction of penalty imposed by lower authorities.

Analysis:

Late Submission of Appeal:
The Steel Authority of India Ltd. filed a Revision Petition against an order passed by the Appellate Collector of Customs, Calcutta. The appellant, represented by Shri P.B. Mallik, sought to regularize the error of filing the petition in the wrong form. The appellant pleaded innocence of law and requested condonation of the delay in filing the appeal. The Tribunal acknowledged the appellant's lack of familiarity with the correct procedure due to changes in the law. The Tribunal found that the appellant was prevented by sufficient cause in the late submission of the appeal and thus condoned the delay.

Interpretation of Import Policy:
The appellant argued that the imported spare part fell under the AM 79-80 Policy and was covered by the Open General Licence (O.G.L.) as the order was placed in February 1980. On the other hand, the Senior Department Representative contended that the AM 80-81 Policy applied, and the goods were not covered under O.G.L. but under Appendix 30 of the policy. The Tribunal held that the appellant's goods were indeed included in Appendix 30 of the Import Policy 80-81, rejecting the appellant's argument regarding the AM 79-80 Policy. Consequently, the Tribunal upheld the orders of the lower authorities regarding the classification of the imported goods.

Reduction of Penalty:
While upholding the classification of the goods, the Tribunal noted that the penalty imposed was substantial considering the circumstances. The Tribunal recognized that the appellant had imported the goods for its own use and reduced the penalty from Rs. 13,678 to Rs. 4,000. The Tribunal directed the Revenue to refund the reduced penalty amount if already paid by the appellant within two months from the date of the order. Apart from this modification, the appeal was rejected for statistical purposes.

In conclusion, the Tribunal granted relief to the appellant by condoning the delay in filing the appeal, upheld the classification of the imported goods under the AM 80-81 Policy, and reduced the penalty imposed by the lower authorities.