1990 (7) TMI 244 - AT - Customs

Summary

Issues:
- Eligibility for exemption of Auxiliary duty of customs under Notification 112/87 for imported goods described as Basic Engineering & Drawings and other Data Sheets.

Detailed Analysis:

1. Background and Facts:
The appeal was filed against the order of the Collector of Customs (Appeals) Bombay, upholding the decision of the Assistant Collector of Customs, Air Cargo Complex Bombay, denying the exemption of Auxiliary duty for goods imported by the appellants. The goods imported were described as Basic Engineering & Drawings and other Data Sheets under a collaboration agreement with a German firm for production purposes.

2. Legal Arguments:
The advocate for the appellants argued that a previous decision by the Tribunal in a similar case had held that Engineering & Drawings would be eligible for exemption under Notification 112/87. The Revenue representative reiterated their arguments presented in the previous case.

3. Tribunal's Decision:
After considering the submissions from both sides, the Tribunal found that the previous decision regarding the eligibility of designs/drawings for exemption under Notification 112/87 was applicable to the present case. The Tribunal emphasized that the term "plans" in the notification should be construed broadly to include drawings as well, based on various dictionaries and the true meaning of the term. The Tribunal concluded that the goods imported, which included basic engineering and drawings, fell under entry No. 24 of Notification 112/87, which covers plans.

4. Outcome:
As a result, the Tribunal set aside the impugned order and allowed the appeal, stating that the appellants were entitled to the consequential relief. The decision was based on the interpretation of the term "plans" in the notification to include drawings, in line with the previous Tribunal decision.

This detailed analysis highlights the legal arguments presented, the Tribunal's interpretation of the relevant notification, and the final outcome of the case in favor of the appellants based on the broader construction of the term "plans" to include drawings.