1992 (7) TMI 222

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... produced the licence dated 3-1-1985 available for import of restricted spares and when the same was objected to, as an alternative, they claimed clearance under OGL Appx. 1B, Item No. 2(9) of AM. 85-88. The same was not accepted by the Department and adjudication proceedings were initiated and ultimately, it was held by the adjudicating authority that the licence was not available for import of the subject consignment as they were not the spares but were instruments by themselves. So far as the OGL was concerned, the adjudicating authority came to the conclusion that this could not be the item figuring under Item 2(9) of Appx. 1B and hence passed the impugned order, which in the appeal has been confirmed by the Collector (Appeals). 3. Shr .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... tion of the word spares is already given in para 5(11) of the Policy 1985-88 and whatever instrument that is sought to be imported, has to be in conformity with the definition given thereunder and has to be read in conjunction thereof. Hence, the imported item cannot be said to be covered by the licence produced and therefore the authorities below have rightly rejected the same. So far as the alternative claim is concerned, he has submitted that Appx. 1B is in relation to the import of capital goods and the capital goods have been given in para 5(8) of the Policy 1984-85. This instrument by any stretch of imagination is not capital goods as defined in the Policy and the import has been rightly held as not covered under OGL entry 2(9). 5 .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... for rendering services, could be those goods which render the services directly and not those which help in proper maintenance of the machinery. This could be the only rational interpretation that could be given, otherwise any item could be treated as the capital goods. The item being not capital goods, notwithstanding the other reasons adopted by the authorities below, the goods cannot be treated as falling under Appx. 1B, entry No. 2(9). Under the circumstances, the order passed by the authorities below on that account also does not appear to be suffering from any infirmity and has to be sustained. 7. All the same, the appellants are the actual users of the item. There is no profit motive involved. In that case, redemption fine of 100% .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X