9911796707
TMI Blog2004 (1) TMI 433X X X X Extracts X X X X X X X X Extracts X X X X ..... visionally assessed on its arrival pending chemical test and production of original documents relating to freight and insurance. Before finalisation of the assessment, the importer contended that the provisions contained in the purchase order accepted by the buyer for reduction in the price of the coke for increase in the moisture and ash contents must be given effect to. The Assistant Commissioner, whose order has been confirmed by the Commissioner (Appeals) in appeal, did not accept this contention and denied this benefit. 2. The contract between the appellant and the supplier, Swiss Singapore Overseas Enterprise Pte. Ltd., was for sale and purchase of 13500 tonnes of raw petroleum coke, with a variation of 10%. Out of this quantity, 85 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd it possible to accept it. The certificate of SGS Singapore Pte. Ltd. shows that a sample of the consignment was drawn between 15th and 23rd May, and its test report is dated 28-5-1993. In this situation, the view of the Commissioner (Appeals) that the report of the test is unacceptable because the goods were tested more than a month after their arrival is clearly wrong. The contention that the department did not have an opportunity to test the goods again cannot be accepted. The invoice for the goods, which was produced to the customs along with the bill of entry for the goods, shows the reduction in price of $ 1.00 on account of excess moisture. The contract between the buyer and the seller provided for payment of the goods of the condi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... payment. The certificate of the test issued by the inspection agency in respect of samples drawn from the consignment showed that various specifications were in accordance with those in the purchase order. The appellant, after arrival of the goods in Goa, had the goods tested once again by SGS India Ltd. The specifications determined by such test were different from the specifications contained in the purchase order. Ash, sulphur and volatile matter were found to be beyond the limits specified in the purchase order. The appellant, on its view that this quality could not be put to use by it without subjecting it to various processes involving considerable cost, instructed the Bank of India through whom a letter of credit had been opened on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s specifically ordered for and supplied. 9. No material has been produced before us to show a specific reason as to why, in a situation where the seller had complied with the requirement of the buyer with regard to the specification of the goods, it still found it necessary to reduce the price after negotiation. The results of the negotiation between the buyer and the seller leading to the reduction in price are contained in a memorandum of agreement dated 2-9-1993. This agreement recites in paragraph I that M/s. Sinopec (Hong Kong) Ltd. agree to compensate M/s. Goa Carbon Ltd. to the extent of USD 12 per ton for the last shipment of USD (sic) 13458.26 Metric Ton of MAOMING RPC. After providing for arrangements for payment of the amount ..... X X X X Extracts X X X X X X X X Extracts X X X X
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