1992 (5) TMI 117 - AT - Customs

Summary

Issues:
1. Validity of the Collector's order enhancing the value of imported goods and confiscating them.
2. Challenge to the reliance on "Byte Catalogue" for assessing the value of goods.
3. Dispute regarding the excess quantity of imported goods and the applicability of para 116(3) of the Import and Export Policy.

Analysis:

1. The appeal challenged the Collector's order enhancing the value of imported goods and imposing penalties under Sections 111(m) and 111(1) of the Customs Act. The appellants imported components for Mini Computer Micro Processor Based Systems, declaring a value of Rs. 22,007/- C.I.F. However, excess goods not covered by the order were found. The Collector assessed the goods at Rs. 2,38,560/- based on prices from the "Bytes" magazine, leading to confiscation and penalties. The Tribunal initially set aside the order for lack of evidence but, during De Novo adjudication, the Collector provided relevant documents. The main contention was the reliance on the "Bytes Catalogue" for valuation, leading to the appeal before the Tribunal.

2. The appellant's representative argued against the use of the "Bytes Catalogue" for valuation, citing discrepancies in origin and branding of goods listed. The Catalogue, a McGraw-Hill Publication, was deemed unreliable for goods made in Taiwan, unlike those from the USA. The Tribunal rejected the Catalogue's prices, accepting the invoice price provided by the appellants as no other evidence supported higher prices. The Tribunal emphasized that the Collector failed to consider the Chartered Accountant certificate for excess goods, directing a re-examination of the issue per para 116(3) of the Import and Export Policy.

3. The Department's representative defended the use of the "Bytes Catalogue," claiming it reflects international prices relevant for assessment. However, the Tribunal found the Catalogue unsuitable for goods manufactured in Taiwan. It highlighted the appellant's invoice indicating prices from Taiwan as more accurate. The Collector's failure to address the excess quantity issue with regard to the Chartered Engineer's certificate and Policy provisions led the Tribunal to remand the case for proper examination. The Tribunal directed the Collector to reconsider the issue in light of all relevant conditions, allowing the appeal and setting aside the Collector's order.

This comprehensive analysis covers the validity of the Collector's order, the challenge to the "Bytes Catalogue" valuation, and the dispute over excess quantity of imported goods, providing a detailed overview of the Tribunal's decision and reasoning.