1999 (5) TMI 106 - AT - Customs

Summary

Issues involved:
1. Waiver of deposit of duty and penalties for multiple applicants.
2. Misdeclaration of imported goods.
3. Financial hardship claimed by the applicants.

Analysis:
1. Waiver of deposit of duty and penalties:
The applications sought the waiver of deposit of duty and penalties for various applicants involved in the case. The duty and penalties were imposed based on the Commissioner's findings that the importers misdeclared the goods. The duty amount and penalties varied for each applicant, with specific amounts mentioned for each. The applicants, including partners in importing firms, requested the waiver citing financial hardship.

2. Misdeclaration of imported goods:
The misdeclaration of goods imported by the applicants was a key issue in the case. The Commissioner found that the importers misdeclared the consignments as Styrene Butadiene Rubber (SBR) while they actually consisted of different products classifiable under other headings. The misdeclaration was discovered through testing by the Custom House and the Indian Institute of Technology. The Commissioner invoked the extended period under Section 28 of the Act due to the misdeclaration and discrepancies in classification.

3. Financial hardship claimed by the applicants:
Financial hardship was pleaded by the applicants, stating that none of the partners, except one, had any significant assets. The partnership firm had ceased operations, and only one partner was involved in export business, generating some income. The departmental representative contested the claim of financial hardship, highlighting the turnover and profits disclosed by one of the partners. The Tribunal considered the financial aspects, including the statements provided by the partners, in determining the amount to be deposited by each applicant.

In conclusion, the Tribunal directed specific amounts to be deposited by the applicants within a specified timeframe, considering the financial circumstances and evidence presented. The waiver of the balance of duty and penalties was granted for all applicants, subject to the initial deposits. The judgment highlighted the importance of accurate declaration of imported goods, financial disclosures, and the need to substantiate claims of financial hardship in such cases.