9911796707
TMI Blog2004 (4) TMI 405X X X X Extracts X X X X X X X X Extracts X X X X ..... g Mills were assessed under the second check appraisement basis considering the description of the goods as synthetic rags. During the examination of the cargo in the Docks it was revealed that 70% of the goods were used trousers cut in two pieces. In this case the entire consignment was found to be two pieces of which 65% were new trousers and 35% were used trousers. In another case of M/s. Krishna Export Corporation, it was found during the examination that out of 60 bales, 30 bales were one piece garments and 30 bales were two piece trousers (synthetic). In the 30 bales in which one piece trousers were found it was reported that 60% of the trousers are brand new and unused and the balance 10% of the trousers were found old and used. In t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... non-production of specific import licence and for mis-declaration of the goods is required to be imposed as goods falling under Heading 6309 require specific import licence in view of ITC (HS) classification of export and import items under EXIM Policy, 1992-97. The Commissioner accordingly ordered to accept the valuation of the goods as US $ 0.35 per kg. and wherever it is higher than US $ 0.36 per kg., the duty is to be collected on higher price. The Commissioner also ordered the classification of goods under CTB 6103 and allowed the clearance against the S.I.L. produced for every consignment. In view of the fact that the importers in all these cases have to suffer heavy demurrage and container detention charges, the Commissioner took a l ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e available at not less than Rs. 25 per piece and hence the market price for 4 trousers will work out to be Rs. 100/- per kg. The Department, therefore, seeks imposition of higher redemption fine. The ld. DR also contends that the clear intention of the importers who cleared the consignment as synthetic rags is brought out from their request for clearance under SIL and therefore, stringent penalty under Section 112 of the Customs Act, 1962 should have been imposed. 5. The prayer is opposed by the ld. Counsels who draw our attention to the Tribunal s order Nos. C. II/62-108/WZB/2003, dated 6-1-2003 [2003 (161) E.L.T. 209 (T)] on appeals filed by the importers against levy of fine of Rs. 2 per kilo wherein the Tribunal has, while sustainin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ris Aqua Ltd. v. CCE, Hyderabad [2000 (115) E.L.T. 186] to set aside penalty as mens rea on the part of the importers was not fully established. Same view was reiterated in the case of SIJ Electronics Comp. Tech. Pvt. Ltd. v. CC, Kochi [2001 (129) E.L.T. 528]. In the light of these decisions, we hold that Section 112 of the Customs Act does not provide for a mandatory penalty. 8. Now we deal with the question as to whether penalty is warranted in the facts of the present case. We note that although the imported consignments consisted of garments as well as synthetic rags, they have been charged to duty at the higher rate as garments. The value of the goods was increased to US $ 0.35 per kg wherever the value declared was lower. We also no ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
