1987 (3) TMI 336 - AT - Customs

Summary

Issues: Classification of imported goods under Customs Tariff Act

Detailed Analysis:

Issue 1: Condonation of Delay and Consolidation of Appeals
The appeal was initially filed as a revision application before the Government of India and later transferred to the Appellate Tribunal. The delay in filing the appeal was condoned, and both appeals were consolidated for a joint hearing due to their common origin from a single order.

Issue 2: Classification Dispute
The dispute revolved around the classification of two imported items, contact plates, and bushings, under the Customs Tariff Act. The appellants contended that the goods should be classified under sub-item (3) of Heading 85.18/27 as parts of electrical apparatus for making and breaking electrical circuits at 400 volts and above. However, the Assistant Collector classified them under sub-item (1) of the same heading as insulating materials, based on the catalogue and write-up provided by the appellants.

Issue 3: Appellate Collector's Decision
The Appellate Collector upheld the Assistant Collector's classification, considering the goods as insulating materials under Note No. 2(a) of Section XVI of the Customs Tariff, which mandates goods described in specific headings to be classified accordingly.

Issue 4: Appellants' Arguments
The appellants argued that the goods, although insulating materials, should be classified as parts of electrical apparatus, specifically tap changers, under sub-item (3) of Heading 85.18/27. They emphasized that the items were essential components of electrical machinery for regulating electric locomotive speed.

Issue 5: Respondent's Counter-Arguments
The Respondent, opposing the appellants' claims, reiterated that the goods were correctly classified as insulating fittings for electrical items under the relevant heading. They referred to Section Note 2(a) of Section XVI and highlighted the extension of concession under Notification No. 172/77 by the Assistant Collector.

Judgment
After considering both parties' arguments, the Tribunal deliberated on whether the imported articles were insulating fittings and the correct classification thereof. Referring to precedent and statutory provisions, the Tribunal concluded that the goods fell under Heading 85.18/27(1) as insulating fittings for electrical equipment. Despite being parts of electrical machinery, the specific classification for insulating fittings prevailed, leading to the dismissal of both appeals.

This comprehensive analysis highlights the classification dispute, the arguments presented by each party, the legal basis for the judgment, and the ultimate decision reached by the Appellate Tribunal CEGAT, New Delhi.