1994 (11) TMI 212

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ilated woollen rags or completely pre-mutilated synthetic rags and claimed import under OGL as listed against Sl. No. 418 List 8 Part-I of Appendix 6 of the Import Policy April 85 - March 88. The goods were examined and found to be synthetic rags cut into 2 and 4 pieces only and not completely pre-mutilated in accordance with para 37(1)(b) in the case of Shree Ram Woollen Mills. The goods on examination were found to be synthetic trousers cut into two different manners i.e. some trousers are cut vertically through the middle and near the stitch of upper portion so as to result in 2 complete long pieces. The remaining trousers are cut both vertically in the middle near the stitch of the upper portion and across the knee which has resulted in .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... reveals that the synthetic trousers have been cut at the seams and, therefore, capable of being restitched as garments. He further submits that the 1985-88 Policy did not provide for further mutilation of the rags if they were found to require to be further mutilated so as to become completely mutilated. Lastly, he contends that Shree Ram Woollen Mills had mis-declared the goods as woollen rags while they were found to be synthetic rags and hence, penalty has been rightly imposed for misdeclaration. 4. We have heard both sides and carefully considered their submissions. We see no force in the submissions of the learned SDR regarding distinguishing factors between Kakkar Co. case (supra) and the present batch of appeals. Examination of .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... of Customs on the basis of the factual examination report synthetic rags cut into 2-3 pieces that these are not completely pre-mutilated is also not sustainable on the face of it, in view of the above observations, due to lack of any identifiable test of complete mutilation. 16 Additional Collector s further finding that the imported goods are capable of being retrieved for manufacture of children s garments or of other articles is without any evidence. It is unwarranted assumption. 17. Even if it is felt that the mutilation not sufficient, Customs authorities at Delhi could have ordered further mutilation on the analogy of Section 24 of the Customs Act and on the basis of similar practice prevalent in the Bombay Customs referred t .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X