2013 (11) TMI 637 - AT - Customs

Classification of Optical Fibre Cable - Classification of goods under Customs Tariff Heading (CTH) 900 - Exemption under Notification No.24/05 dt. 1.3.05 - Held that - this type of acrylic coating cannot be considered as sheathing - that deposit already made is sufficient for hearing the appeals. Therefore, the pre-deposit of balance amounts arising out the impugned orders is waived and recovery thereof is stayed during pendency of the appeals - Following decision of Alcatel India Ltd. Vs Commissioner 2006 (2) TMI 196 - AUTHORITY FOR ADVANCE RULINGS - Stay granted.

Summary

Issues:
Classification of 'Optical Fibre Cable' under Customs Tariff Heading (CTH) 9001 or CTH 8544 for exemption under Notification No.24/05 dt. 1.3.05.

Analysis:
The judgment involves five stay petitions and applications for condoning delay in filing appeals. The core issue pertains to the classification of 'Optical Fibre Cable' by the appellants under CTH 8544 for exemption under a specific notification, while the department argues for classification under CTH 9001. The dispute revolves around whether the acrylic coating on individual fibers can be considered as 'sheathing,' impacting the classification. The appellant's counsel argues that 'sheathing' should be interpreted in the context of optical and electrical engineering, citing technical literature and opinions to support their stance.

The Revenue's representative opposes the appellant's claim, referencing past rulings where it was determined that the acrylic coating cannot be deemed as 'sheathing.' Specifically, the Advance Rulings Authority and Tribunal decisions are cited to support this position. The Tribunal notes the differences in the goods and manufacturing processes in these previous cases.

The Tribunal acknowledges the technical nature of the issue and the need for a detailed argument from both sides. Despite the past rulings, the Tribunal decides to allow the appellant a chance to present their case thoroughly. Considering the complexity of the matter, the Tribunal waives the pre-deposit of balance amounts from the impugned orders and stays the recovery during the appeal proceedings.

In conclusion, the judgment delves into the technical aspects of classifying 'Optical Fibre Cable' and the interpretation of 'sheathing' in the context of Customs Tariff Headings. The Tribunal's decision to allow further argumentation by the appellant showcases a fair approach to resolving the classification dispute, ensuring a comprehensive examination of the issue at hand.