9911796707
TMI Blog2013 (7) TMI 645X X X X Extracts X X X X X X X X Extracts X X X X ..... se and Customs does not call for any interference by this Court -Court relied upon the judgement of Steel Authority of India Ltd v. Commissioner of Customs and Excise, Raipur (2005 (3) TMI 377 - CESTAT, NEW DELHI ) - skull scrap was obtained during the filling of the molten metal in the moulds through tundish as well as some spillage on the ground –the same was imported - skull scrap is suitable for melting and in the absence of any material to show that the imported item was only slag resulting from the manufacture of iron and steel classifiable under Heading 26.19 – no hesitation in accepting the plea of the assessee that the goods in question would fall under heading 72.04 and not under heading 26.19. The reasoning of the Tribunal par ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Ts of goods declared as 'Non-alloy steel melting scrap consisting of skull'. The goods were purchased by the assessee on high seas sale basis from M/s.Shree Ganesh Steel Rolling Mills Ltd., Singapore. The goods were examined under first check and during visual examination of goods, the Revenue found no discrepancy as regards description of goods. On being asked by the apprising group as regards the nature and origin of the scrap consisting of skull, by letter dated 16.11.2006, the assessee pointed out that skull was the material spilled over during the filling of the molten metal in the moulds through tundish and during such process, there would be some spillage on the ground too and also some quantity would get stuck in the tundish itself. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3(3) of Foreign Trade (Development Regulation) Act 1992 and also under Section 111(m) of the Customs Act. The Adjudicating Authority passed an order accordingly, allowing the importer to redeem the goods on payment of fine of Rs.4,00,000/- in terms of Section 125(1) of the Customs Act and imposing penalty of Rs.40,000/- each, on the assessee as well as on M/s.Shree Ganesh Steel Rolling Mills Ltd., under section 112(a) of the Customs Act. 4. Aggrieved by this, the assessee went on appeal before the Commissioner of Customs (Appeals), who upheld the order of the Adjudicating authority. Aggrieved by this, further appeal was filed by the assessee before the Customs, Excise and Service Tax Appellate Tribunal. 5. The assessee placed reliance ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion of goods and considering the data retrieved from National Informatics Data Base of the Directorate of Valuation under the Central Board of Excise and Customs that mild steel skull scrap covered under bill of entry falls under sub heading 7204 49 00, the Tribunal held that the the goods were classifiable under Sub Heading 7204 49 00 and not under heading 26.19. Consequently, the finding of mis-declaration and misclassification of the goods and imposition of penalties were set aside. Aggrieved by this, the present appeal by the Revenue. 7. Reiterating the contention taken in the notice as well as in the order of the Commissioner of Customs (Appeals), learned standing counsel for the Revenue pointed out that considering the presence of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... yard were similar and both the scraps were recovered from molten metal of blast furnace. The Tribunal further pointed out that the scrap was generated in the manufacture of iron from iron ore and the item was hence classified under sub heading 7204.10 of the schedule. 9. Applying the said decision to the case on hand, when we look at the process explained by the assessee in the instant case, we find that skull scrap was obtained during the filling of the molten metal in the moulds through tundish as well as some spillage on the ground. This was imported by the importer. Going by the admitted fact that skull scrap is suitable for melting and in the absence of any material to show that the imported item was only slag resulting from the man ..... X X X X Extracts X X X X X X X X Extracts X X X X
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