2023 (12) TMI 1079 - AT - Customs

Levy of Anti-Dumping Duty - clearance of tyre making machines (old and used) including used Chinese origin tyre curing presses under EPCG scheme - applicability of N/N. 01/2010 dated 08.01.2010 - HELD THAT - At the outset it has to be stated that the respondent-company has gone into liquidation as per the order of the NCLT, Bangalore Bench dated 30.12.2019. Further, in the present case, the goods imported are used and second-hand machines . The Chartered Engineer has reported that the goods are used and second-hand. There is no dispute on the fact that the goods are used and second-hand machines. The Tribunal in the case of Trinity Exporters 2019 (2) TMI 1370 - CESTAT CHENNAI had an occasion to analyse the issue as to whether ADD is leviable on import of used and second-hand machines. The issue was answered in favour of the importer and against the Department. Taking note of the fact that the respondent-company has gone into liquidation and also following the decision in the case of Trinity Exporters, there are no merit in the appeal filed by the Department - the appeal filed by the Department is dismissed.

Summary

Issues:
The appeal against the order passed by Commissioner (Appeals) to set aside the demand confirmed by the original authority regarding the liability to pay Anti-Dumping Duty (ADD) on imported old and used tyre making machines, including Chinese origin tyre curing presses under EPCG scheme.

Summary:
The Department filed an appeal against the Commissioner (Appeals) order setting aside the demand for Anti-Dumping Duty (ADD) on imported old and used tyre making machines, including Chinese origin tyre curing presses under EPCG scheme. The respondent argued that they are not liable to pay ADD as the goods are old and used machines. The original authority re-assessed the bills of entry by confirming the differential duty (ADD). The Department contended that ADD is leviable on Chinese origin goods, whether old and used, as per Notification 01/2010. The Tribunal noted that the respondent-company has gone into liquidation and the imported goods are "used and second-hand machines," as confirmed by a Chartered Engineer. Citing a previous case, the Tribunal found in favor of the importer, ruling that ADD is not leviable on import of used and second-hand machines.

The Tribunal dismissed the Department's appeal, considering the liquidation of the respondent-company and the precedent set in a similar case. The cross objection filed by the respondent was disposed of accordingly.