9911796707
TMI Blog1987 (3) TMI 348X X X X Extracts X X X X X X X X Extracts X X X X ..... d to dispose of them together. 2. The question before us is whether the appellants are entitled to the benefit of project importation in respect of the goods imported by them. The appellants imported Dubbing and Recording equipments stated to be for the substantial expansion of an existing unit. They sought registration of contract in respect of the same so as to become eligible for concessional assessment under the Heading 84.66-CTA. The Assistant Collector rejected the claim for registration after noting that in spite of a request and a reminder, the appellants did not produce the contract. He rejected the claim made by the appellants in the following words: The facility of project contract registration and classification of the impo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n combination with other activities would not merit being called an activity comparable to complex activities in an Industrial Plant as specified under the entry 84.66. He further recorded that the benefit under this entry is only to cater to substantial industrial activity to earn the name Project and not just a more Industrial or Commercial activity without substantial turnover. In sum, the Appellate Collector held that the matter would fall outside the scope of the word Industry viewed in the manner stated above. He, therefore, upheld the orders of the Assistant Collector. 4. Aggrieved by this order, the appellants filed a revision application. 5. We heard Shri S. Rajaraman, Consultant for the appellants and Shri J. Gopinath, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e used in acoustic surroundings involving high skill and sound proofing. Shri Rajaraman also referred to a letter dated 24-9-81 from National Films Development Corporation Ltd. wherein it was confirmed that film production activity comes under what is generally recognised as the film industry. He further referred to Public Notice No. 196/83 issued by the Collector of Customs, Madras wherein film processing laboratory was notified to be eligible for assessment under the Heading 84.66. 6. Shri J. Gopinath, Ld. SDR opposing the arguments stated that in commercial practice, there is always a contract when a firm order is placed and is accepted by the importers and exporters, respectively. He submitted that it cannot be considered that there ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of 1984 (Dass Colour Lab. v. Assistant Collector of Customs, Madras and two others). He further submitted that the certificate given by N.F.D.C. was intended purely for I.T.C. purpose and this certificate does not amount to the registration of appellant s unit as an industry. He also referred to a letter from the Director of Industries and Commerce, Madras (dated 3.6.80) and argued that this letter did not amount to the recognition of the appellant s unit as Industry but merely recommended to the Joint Chief Controller of Imports Exports that he should make an endorsement as Project Import for the purpose of customs duty. Shri J. Gopinath further referred to the Project Report of the appellants dated 5.8.80 (which was also submitted al ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ined the question of eligibility of such laboratories to the benefit of project import. The High Court took note of the policy decision of the Govt. of India to extend the project import facility to Automatic Colour Film Processing and Printing Machine subject to the fulfilment of two conditions. The High Court recorded that the first condition relates to the importers being a unit registered with DGTD or with State Director of Industry. The 2nd condition as noted by the High Court relates to the unit qualifying itself to be calling a factory within the meaning of the Factories Act. 11. We have examined the present matter in the light of this Judgment of the High Court of Madras. The appellant s plea is that the letter of the NFDC shows t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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