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2009 (10) TMI 255

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..... rnational Trade in Endangered Species (hereinafter referred to as 'CITES'). The goods were examined and it was felt that the leather straps of ostrich and alligator were restricted in terms of licensing note to Chapter 1 of ITC (HS) and that the permission of the wildlife authorities was required for their clearance. It was also alleged that the examination of the consignment revealed an excess of 25 pieces of alligator watch straps valued at Rs.52,980/- and that the said watch straps had not been included in the Bill of Entry. 2. The show-cause notice was accordingly issued, to which the respondent herein filed its reply on the two issues raised therein in the following manner:- (a) Insofar as objection of the adjudicating authority that the straps made of ostrich and alligator leather were of the endangered species, submission of the respondent was that it had produced certificate from CITES, which was sufficient and there was no need to produce CITES import permit from the jurisdictional wildlife authority as well. (b) In respect of 25 pieces of alligator watch straps in excess of what was mentioned in the Bill of Entry, explanation of the respondent was that the items import .....

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..... d 31-8-2006 wherein following questions of law were raised:- "(a) As per ITC (HS) Regulations those live animals which are restricted for import, their parts and products are also restricted under the Regulations. (b) Failure of the respondent to submit country of origin certificate and "No Objection Certificate" from Wildlife Department which are the conditions for import of such items. Therefore, the appellant contended that the impugned goods were rightly confiscated for violation of provisions of Wild Life Act, 1972." The matter was admitted and thereafter final arguments heard. 7. First issue that needs determination is as to whether the certificate of CITES produced by the respondent would suffice or the law mandates permission of the wildlife authorities as well. Though the adjudicating authority found that the correct classification of watch straps was under 9113.20.90 and noted that there was no licensing requirement under this heading, he concluded that permission from the wildlife authorities was still required, as clarified by the said authorities, because these were restricted items. This conclusion is preceded by the following discussion:- "The Wild Life Regional .....

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..... he Government of Switzerland for the export of 205 Nos. of watch straps. Learned counsel has also pointed out that the Alligator skin under import is of Mississipiens variety, while crocodiles mentioned in Wild Life Act Appendix is other varieties. We find that the learned counsel's contention is right. Entry in Part-II relating to reptiles in schedule-I of the Act reads as follows:- I-D - Crocodiles (Including the Estuarine or salt water crocodile) (Crocodilus porosus and Crocodilus palustris.) It is clear from the above entry that "Crorodilus Porosus" and "Crocodilus palustris" varieties only are covered and not the imported one i.e. Mississipiens. In regard to Ostrich and Calf, there are no entries at all under the Wild Life Protection Act. It is, thus, clear that the three varieties of straps under import were not subject to any restriction for import under the Wild Life Protection Act. Import Trade Control Schedule mentions watch strap under entry 91132090. Items under that entry are freely importable. Thus, the lower authorities were clearly in error in treating the instant import as in violation of Wild Life Protection Act and CITES. 4. As already noted, the goods have be .....

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..... tion Act. Reason is obvious. Since these species do not exist in India, there is no question of their protection in this country. (c) The adjudicating authority himself concluded that watch strap is covered by Entry No. 9113.20.90 of Import Trade Control Schedule. As per this entry, the items are freely importable. Once we look into the matter from this angle, the irresistible conclusion is that clearance from the wild life authorities in India under the Wild Life Protection Act is not required. Under such circumstances, these kinds of matters would be covered by CITES and all the nations signatory to the said treaty agreed to bind by the provisions contained in CITES. 13. The CITES of Wild Fauna and Flora works by subjecting international trade in specimens of selected species to certain controls. The species covered by CITES are listed in three Apendices viz. I, II and III. The Appendix I includes species threatened with extinction and trade in these species is permitted only in exceptional circumstances. The respondent wish to submit that the source of imported Ostrich watch straps belong to Buckle Struthio Camelus linnaeua from South Africa made in Austria. The Ostrich watch .....

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