9911796707
TMI Blog2003 (9) TMI 590X X X X Extracts X X X X X X X X Extracts X X X X ..... t. The declared CIF value of the goods was US $ 0.65 per metre on the basis of invoice dated 2-11-2000 issued by the foreign supplier, namely, M/s. ACE Trading, Dubai (UAE). The goods were examined by the DRI staff on 8-12-2000 and two representative samples were drawn from bale Nos. 96 and 185. The Chemical Examiner s report on the test samples read thus :- The sample is a cut piece of (khaki/navy blue) coloured knitted looped pile fabric having ribbed surface on one side. It is wholly composed of polyester texturised multi-filament yarn. 2. The importer contested this test report by producing a report from the Textile Commissioner, Ministry of Textiles, Government of India, which certified the goods to be warp knitted polyester fab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r Sections 112 and/or 114A of the Act. They also felt that, under a Standing Order dated 4-2-2000 of the Chief Commissioner of Customs, Mumbai, the goods required to be assessed to duty on the basis of a minimum value of US $ 1.00 per metre. Accordingly, show cause notice dated 9-8-2001 was issued to the importer. Upon receipt of this notice, the importer requested for a retest of the samples, which was acceded to by the jurisdictional Commissioner of Customs. The retest report dated 26-11-2002 of the Director (Revenue Laboratories), Central Revenue Control Laboratory, New Delhi read as under :- Each of the two samples is cut-piece of coloured fabric having ribbed surface. Each is composed of multi-filament yarn of polyester. Each of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r for the assessment purpose. 3. I confiscate 34,319 metres of the Polyester Knitted looped Pile Fabric under Section 111(d) and 111(m) of the Customs Act, 1962 but since the goods have already been released provisionally to the importer I adjudge the fine of Rs 1,00,000/- (Rupees One lakh only) in lieu of confiscation under Section 125 ibid, besides duty leviable and other charges, if any. 4. I impose personal penalty of Rs. 50,000/- (Rupees Fifty Thousand only) on M/s. Chandra Impex, 33 Green Avenue, Amritsar under Section 112(a) of the Customs Act, 1962. The present appeal is against the above order. 6. We have examined the records and heard both the sides. Reiterating the grounds of appeal, the learned Counsel for the appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nitted or crocheted. SH 6001.22 covers looped pile fabrics of man-made fibres. According to the Department, this is the appropriate classification for the subject goods. For this classification, the Department and the adjudicating authority have relied exclusively on the retest report of the Director (Revenue Laboratories). The rival Heading is 60.02 which covers other knitted or crocheted fabrics. SH 6002.43 covers other fabrics (of man-made fibres), warp knit (including those made on galloon knitting machines). The appellants want their fabric to be classified under this entry. 8. The retest of the samples was ordered at the instance of the importer who had complained that the initial report of the Chemical Examiner was vague and incomp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... c as any loop has necessarily got to be a part of the fabric and, therefore, the expression fabric without having free loops should mean fabric without having loops . In a similar reasoning, the learned Counsel has argued that the expression fabric without having cut piles means fabric without piles . We have to accept these arguments in the absence of any contra clarification of the Director (Revenue Laboratories). The interpretation of the retest report, as stated in the impugned order, does not appeal to our prudence. We, therefore, hold that, as certified by the Director (Revenue Laboratories) in his retest report, the subject goods are warp knitted fabric of polyester yarn, without loops or piles. The goods, therefore, would not ..... X X X X Extracts X X X X X X X X Extracts X X X X
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