9911796707
TMI Blog2011 (5) TMI 796X X X X Extracts X X X X X X X X Extracts X X X X ..... per MT. The Customs authorities on examination, found that the goods were old and used ship chains made of mild steel. Accordingly they revised classification under CTH 7315.20 as "ship chains" and also enhanced the value for assessment purposes from US $ 370 to US $ 480 per MT. Accordingly, the assessing officer confiscated the goods and gave an option to redeem the same on payment of fine of Rs. 10 lakhs and also imposed a penalty of Rs. 4 lakhs on the appellants and confirmed differential a duty demand of Rs. 6,97,116/- on account of re-classification of CTH 7315.20 and also on account of assessment of the goods US $ 480 per MT. The appellant filed an appeal before the Commissioner (Appeals), who vide order dated 17-1-2011 rejected the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant has not discharged this onus placed on them, while classifying the product as waste and scrap under CTH 7204. (iii) CTH 7315 specifically covers ship chains and in the said entry there is no mention that it should always be new. Therefore, the product would merit classification under CTH 7315. 5. From the records, it is seen that there is no dispute about the fact that the product under importation is old and used ship chains. All the documents relating to importation clearly evidence this fact. The goods have been inspected prior to shipment by World Wide Logistic, Survey and Inspection (WLSI) Group and Affiliates, which is one of the approved inspection agencies under the EXIM policy. As per the certificate, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... offered to produce an end-use certificate before the Customs authorities the goods will be actually used for melting from the jurisdictional Central Excise authorities. Taking into consideration the offer made by the appellants, we direct them to produce the certificate to that effect within a period of three months. 7. There is also a proposition by the Customs authorities for enhancing the value from US $ 370 to US $ 480 per MT. The Customs authorities have arrived at this value based on the presumption that new chain would cost US $ 600 per MT and therefore old and used chains would cost US $ 480 per MT. We do not find any rationale or logic for this proposition. Accordingly, we reject the claim of the department to enhance the va ..... X X X X Extracts X X X X X X X X Extracts X X X X
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