1994 (10) TMI 157 - AT - Customs

Summary

Issues:
1. Validity of import of ribbons for electronic typewriters under Open General Licence (OGL) during the policy period 1988-91.
2. Confiscation of goods and imposition of penalty under Sections 111(d) and 112(a) of the Customs Act.
3. Interpretation of Import Policy for the period 1988-91 regarding eligibility for import under OGL.

Analysis:
1. The appellant imported ribbons for electronic typewriters under OGL during the policy period 1988-91. The department alleged that the goods were restricted items for import as they were covered by a specific entry in the Import and Export Policy. The appellant argued that previous clarifications by the competent authority allowed such imports under OGL. The Tribunal noted that the specific provision in the Import Policy for the relevant period stated that goods mentioned in certain appendices could not be imported under OGL without a valid license. The Tribunal upheld the confiscation of goods and penalty, emphasizing the requirement of a specific license for such imports.

2. The Additional Collector had ordered the confiscation of the imported goods described as ribbons, valued at Rs. 4,18,910, under Section 111(d) of the Customs Act. Additionally, a personal penalty of Rs. 10,000 was imposed under Section 112(a) of the Customs Act. The appellant contended that the import was legal based on previous clarifications and inclusions in the Import Policy. However, the Tribunal found that the goods required a specific license for importation during the relevant policy period. Consequently, the confiscation and penalty imposed were deemed justified under the law.

3. The Tribunal considered the appellant's reliance on clarifications and inclusions in the Import Policy for the period 1985-88. Despite arguments that these supported the legality of the import, the Tribunal held that such references were not applicable to the policy for the period 1988-91. The Tribunal emphasized the specific provision in the Import Policy that goods listed in certain appendices required a license for importation. Consequently, the Tribunal upheld the decision to confiscate the goods and impose a penalty, while reducing the redemption fine due to the appellant's status as an actual user of the ribbons for electronic typewriters.

In conclusion, the Tribunal affirmed the confiscation of goods and the penalty imposed under the Customs Act, highlighting the necessity of a specific license for importing goods listed in certain appendices during the relevant policy period. The Tribunal acknowledged the appellant's status as an actual user but maintained the decision based on the legal requirements outlined in the Import Policy.