9911796707
TMI Blog1989 (9) TMI 267X X X X Extracts X X X X X X X X Extracts X X X X ..... the Custom House agents of appellant M/s. Kakar Toys Industries filed Bill of Entry on 11-5-1987 of a consignment containing parts of toys imported from M/s. Alltoys Co. Ltd., Hong Kong. Similarly lateron, on 24-8-1987, the same Custom House agents filed Bills of Entry on behalf of appellant M/s. Mahendra Mechanical Industries for a consignment of plastic moulded component parts. Here also, the supplier from Hong Kong was the same, namely, M/s. Alltoys Co. Ltd. On examination of the consignment of appellant M/s. Kakar Toys Industries, the Custom House found that most of the parts which go to make the complete finished toys were present in the consignment. Although certain parts were not imported, but the Custom House was of the view that this would not affect the basic character of the imported goods. In regard to the goods covered by the Bill of Entry filed for appellants M/s. Mahendra Mechanical Industries, the Custom House suspected that the other consignment contained the balance components from the consignment of M/s. Kakar Toys Industries, which, when put together, would make complete toys. On making enquiries, it was found from the Custom House agents that they had not rece ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rged, had no concern with appellants M/s. Mahendra Mechanical Industries. He cited and relied upon in this connection the decision of the Calcutta High Court in the case of Collector of Customs, Calcutta v. Mitsuny Electronic Works -1987 (30) E.L.T. 345, wherein the High Court held that consignments cannot be clubbed if by sheer coincidence of the consignment arrived at a time; that was also a case where the Custom House also sought to club the imports made by the Export Houses which were imported together although the Export Houses were separate entitles. As regards valuation, the learned consultant referred to the correspondence of the appellants with various suppliers and their ultimately placing the order with M/s. Alltoys Co. Ltd., Hong Kong. Appellants have a factory in which they have the equipment to manufacture the components not imported by them. In fact, during the enquiries conducted by the Custom House, their factory had been visited by the Preventive Officers of the Delhi Collectorate and the facts verified. On valuation, it was further pointed out that the value adopted by the Custom House was erroneous because the department had clubbed the prices of the goods impor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ble value. 5. We have carefully considered the submissions made by the learned consultant, the learned counsel and the learned SDR. The origin of the case is the clubbing of the two consignments by the Custom House and the charges of un-authorised import and under-valuation followed from such clubbing. This is the admitted position even according to the Additional Collector s adjudication order. It is seen that the Additional Collector has himself observed in paragraph 13 of his order that no direct link between the two factories has been established. But reliance, however, is placed on a series of significant similarity between the two consignments. These are that appellants M/s. Kakar Toys Industries have imported only mechanism whereas appellants M/s. Mahendra Mechanical Industries only the plastic components of toys which, according to the Custom House, is a peculiar circumstances of matching. Secondly, in both the consignments, items have been imported in certain specified quantities and the two consignments match so well as to make one that is to say the toy is complete as the finished product. The further aspect was that to assemble the separate parts did not require any p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Custom House is complementary to the consignment of this appellant. In this background, we observe that there are certain precedent decisions of the Tribunal and the High Court regarding the criteria to be adopted for such clubbing. In the case of Collector of Customs, Calcutta v. Mitsuny Electronic Works - 1987 (30) E.L.T. 345, the Hon ble High Court of Calcutta had held that one has to look the respective import licences and not to the fact that if all the consignments covered by all the Bills of Entry are assembled together, there will be a complete machine. Similarly, the Tribunal in the case of M/s. Sharp Business Machines (Pvt.) Ltd. v. Collector of Customs, Bangalore - 1990 (46) E.L.T. 317 (Tri.) = 1989 (21) ECR 229 held that various consignments cannot be clubbed to determine the nature of the goods imported. That was a case where the same importer filed separate Bills of Entry in two separate consignments of goods from different suppliers which when put together would, according to the Custom House, make for complete plain paper copying machine. Similarly, in the case of Susha Electronics Industries v. Collector of Customs Central Excise, Rajkot - 1989 (39) E.L.T. 5 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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