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TMI Blog1999 (3) TMI 183X X X X Extracts X X X X X X X X Extracts X X X X ..... g upon the HSN Explanatory notes to Section XV according to which, springs classifiable under sub-heading 73.20/21 may be fitted with U-bolts or other fittings for assembly or attachment. The lower Appellate authority has confirmed the order of the Assistant Collector; hence this appeal. 2. We have heard Shri D.N. Mehta, learned Advocate and Smt. R. Pant, learned SDR. What is emphasised before us is that the imported goods are specially designed as specific parts of pressure gauges and that they are not just springs but composite items viz. springs with collet. We find that, as rightly pointed out by the learned SDR, the issue in dispute is covered against the importers by the order of the Tribunal in the case of Kirloskor Pneumatic Company v. Collector of Customs, Bombay reported in [1997 (90) E.L.T. 428 (Tribunal) = 1997 (70) ECR 348] in which springs specially designed as specific parts of air conditioner and refrigeration compressors were classified under sub-heading 7320.90 of the Customs Tariff Act, 1975 relying upon its earlier decision in the case of Gordon Woodroffe Co v. Collector of Customs reported in [1987 (27) E.L.T. 99], Krishan Flour Mills v. Collector of Custom ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 0.20). We therefore, uphold the impugned order and reject the appeal. Sd/- (Joyti Balasundaram) Member (J) [Order per : S.K. Bhatnagar, Vice President]. - With due respects to Hon ble Member Judicial, my views and orders are as follows :- 7. I observe that the basic issue involved is whether the imported article is in the nature of a spring covered by Section Note 2 of Section XV relating to `Parts of general use and in view of clause (b) of this Section Note was covered by Heading 73.20 or the imported item was a component part of `pressure gauge classifiable under Heading 90.26 which includes Instruments and apparatus for measuring or checking the flow, level, pressure or other variables of liquids or gases and was classifiable as such under sub-heading 9026.90 which covers `Parts and accessories of the instruments and apparatus falling under this heading. 8. In the Bill of Entry the description of the item has been given as Hair spring; Stainless steel spring wire round with collet; (special designed parts of pressure gauge); (other than hairspring for watch) . 9. In the invoice the goods have been described as component parts for pressure a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gned for use as such and, therefore, covered by Heading 9026.90. He has also mentioned that the reference to HSN and the Interpretative Rules is misplaced and drawn attention to the invoice and the technical literature of the importer and technical write-up by the Development Manager. 13. I consider that learned Advocate s arguments have a lot of force. We have already noted the relevant provisions and the relevant positions of the technical literature of the manufacturer/supplier. Section 2(b) of Section XV undoubtedly includes springs and leaves of all types, irrespective of their use, other than clock or watch springs of heading 91.14" and Heading 73.20 covers `springs and leaves for springs, of iron or steel , and at the same time Chapter 90 excludes parts of general use, as defined in Note 2 to Section XV, of base metal (Section XV) or similar goods of plastics; but Chapter Note 2(b) of this Chapter reads as follows :- 2(b) Other parts and accessories, if suitable for use solely or principally with a particular kind of machine, instrument or apparatus, or with a number of machines, instruments or apparatus of the same heading (including a machine, instrument or apparatus ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and the Vice President, the matter is submitted to the Hon ble President for reference to third Member on the following points:- 1. Whether in view of the observations and orders of the Hon ble Judicial Member, the impugned order is required to be upheld and the appeal is required to be rejected? Or 2. Whether in view of the observations and findings of the Vice President, the impugned order is required to be set aside and the appeal is required to be accepted? Sd/- Sd/- (Jyoti Balasundaram) (S.K. Bhatnagar) Member (J) Vice President [Order per : C.N.B. Nair, Member (T)]. - 16. I have perused the records of the case and the differing orders with great care. I have also considered the submissions made by learned Counsel, Shri D.N. Mehta during hearing on 15-1-1999 and his written note dated 12th January, 1999. I have also examined the samples of the Hair springs and the submissions of the learned D.R., Shri K. Panchatcharan. 17. The goods are hair spring, Stainless steel springs wire round, groove and staked collet, steel according to the invoice. One view taken (by the lower authorities also) is that this ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ring does not alter its classification is also made clear by HSN when it states that: Springs may be equipped with U-bolts (e.g. for leaf-springs) or other fittings for assembly or attachment. The collet is only other fittings for assembly or attachment of the spring in the gauge instrument. Therefore, the appellants claim that the presence of the collet makes it a hairspring assembly is not correct. 20. Note 2 of Section XV clarifies that Throughout this Schedule, the expression parts of general use" means : (a) ............................ (b) Springs and leaves for springs, of base metal, other than clock or watch springs (Heading No. 91.14) (c) ............................ Thus, it is clear from this Note that the only springs which can be treated as part of instruments and apparatus are springs used in clock or watch and all other springs will go as parts of general use. And the appropriate classification for springs of general use is 73.20. Exclusion clause 2(b) to Chapter 90 and HSN clause (c) under Heading 73.20 do not make a difference in view of the aforesaid clear provisions in Note 2(b) to the effect that all springs other than clock and watch sprin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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