1998 (9) TMI 296 - AT - Central Excise

Gold - Old gold jewellery imported under SIL - Benefit of Notification No. 117/94-Cus. is available

Summary

Issues:
1. Interpretation of special import licence for gold.
2. Applicability of Notification No. 117/94-Cus. to old gold jewellery.

Analysis:
1. The case involved the import of old gold jewellery declared as such in the bill of entry. The respondents held a special import licence for gold without specifying the form, while the notification exempted gold from certain duties. The Collector of Customs challenged the acceptance of the licence for old gold jewellery, arguing that the licence only covered new gold in primary form. The lower authority rejected this contention, leading to the Revenue's appeal.

2. The Revenue contended that old gold jewellery should not benefit from the special import licence as it was not new and fell under a different tariff heading from gold in primary form. The respondents argued that the prohibition was against used goods, not old goods, and that the licence covered gold in all forms. They cited precedents to support their position. The Tribunal held that the licence's generic nature encompassed all types of gold, including jewellery, and upheld the lower authority's decision. Consequently, the benefit of the exemption notification was also extended to the respondents, leading to the rejection of the Revenue's appeal.