9911796707
TMI Blog2015 (2) TMI 957X X X X Extracts X X X X X X X X Extracts X X X X ..... The adjudicating authority observed that NML is a specialized agency dealing with metals and therefore, it has accepted the conclusions given by them. It is further observed that its materials evaluation and characterization facilities compare with the best in the world. We are concerned with the particular test report NML and MSME and therefore we would not like to express any opinion on the competency of expert opinion of NML and MSME. In this context, it may be referred that the Tribunal in the case of Sabari Exim Pvt. Ltd. (2004 (10) TMI 460 - CESTAT, CHENNAI) rejected NML report and accepted imported non-alloy steel blooms as prime quality on the basis of report of other agency, imported in December 2002 and extended the benefit of exemption Notification No. 21/2002-Cus. Apart from that, as contended by the appellant, the Department released the goods in respect of six Bills of Entry on the basis of the same MSME Report. After examining MSME Report as per order of the High Court, we are of the view that MSME report should be accepted, wherein it has been opined that the goods in question are of prime chemistry and meet the quality requirements of prime quality. According ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rted Non-Alloy Steel Slabs, non-prime quality. By Addendum to show-cause notice dated 4.8.2005, the Department forwarded the reports received from the overseas sources of the supplier of the goods M/s. Frovia, France. 1.4 In the meantime, the appellant moved writ petition before the Hon'ble Madras High Court to permit re-test of the samples. The Hon'ble Madras High Court by judgment dated 11.4.2005 in Writ Petition No. 5700 to 5703/2005 dismissed the writ petition. The appellant preferred an appeal before the Hon'ble Division Bench. By judgment dated 22.7.2005, in W.A. No. 832 to 835/2005 and W.A.M.P. Nos. 1576 to 1582/2005, the Hon'ble Division Bench dismissed the appeals filed by the appellant. The appellant filed SLP before the Hon'ble Supreme Court. The appellant took a stand before the Hon'ble Supreme Court that CBEC vide Circular dated 21.5.1955 permitted retest of the samples in the event if the assessee is dissatisfied with the samples taken by the Department. In view of that, the Hon'ble Supreme Court, by judgment dated 17.4.2006 directed the appellant to approach the High Court on this issue. In terms of the judgment of the Hon'ble Supre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or have filed these appeals. 3. The learned counsel for the appellants submits that after the report dated 27.10.2004 of NML, the appellant requested for retest of the goods which was rejected by the Department. The appellant went upto the Hon'ble Supreme Court. Ultimately, by judgment dated 1.12.2006 the Hon'ble Madras High Court directed the Department to permit retest of the samples. In terms of the Hon'ble High Court, the samples were retested by MSME. By test report dated 21.4.2009, MSME observed that the impugned goods are prime quality. Department wanted to carry out third test, which was rejected by the Hon'ble High Court by order dated 20.3.2012 in Writ Petition No. 4098/2012. The Department was directed to proceed with the adjudication process on the basis of the test report dated 21.4.2009 obtained in pursuance of the order of the Hon'ble High Court. He submits that the adjudicating authority should not have relied upon the earlier NML report, which is contrary to the order of High Court. 3.1 The Tribunal in the case of Sabari Exim Pvt. Ltd. Vs. Commissioner of Customs, Chennai - 2005 (180) ELT 36 rejected the NML report in respect of import of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2002 (Sl. No. 190B of the Table) as amended. By test report dated 27.10.2004, NML opined that the material does not confirm to BIS 2830 and the goods should be treated as Non-Alloy Steel slabs - non-prime. The Hon'ble Madras High Court by judgment dated 1.12.2006, directed the Department to permit retest of the samples. In pursuance of the said judgment, the Department sent the samples for retest to MSME Testing Centre, Ministry of Micro, Small and Medium Enterprises, Govt. of India (in short, MSME). By test report dated 21.4.2009, MSME opined that the materials are Prime Chemistry and meet the requirement of prime quality non-alloy steel slabs . Thereafter, the Department wanted to carry out the third test, which was rejected by the Hon'ble Madras High Court by order dated 20.3.2012 in W.P.No. 4098 of 2012 in the writ petition filed by the appellant. Revenue filed appeal against the said order before the Hon'ble Division Bench of the High Court. By judgment dated 15.10.2012 in W.A. No.2244/2012 and M.P. No. 1/2012, dismissed the writ appeal filed by the Revenue and directed the Department to comply with the order dated 20.3.2012 within two weeks. The Hon'ble Hig ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Report) Specified Value as per IS 2830-2003 Length: 3 to 13 m Tolerance ( 150 mm) Width: over 300mm Tolerance -10 to +5mm Thickness: Upto including 150mm Tolerance -4 to +3 mm Bend: 8 to 40 mm Chamber: 8 to 40 mm OBSERVED VALUES S. No. Identification No. Length (m) Width (mm) Thickness (mm) Bend (mm) Camber (mm) Remarks 1. 1. 4,580 1250 68 5 3 Within the limits 2. 1 4,695 1260 68 5 3 Within the limits 3. 3 4,500 1240 69 10 3 Within the limits 4. 4 5,540 1340 69 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... i) Technical Opinion Report (Page 10 of the Report) xxxxx xxxxx xxxxx xxxxx xxxxx xxxxx xxxxx xxxxx xxxxx xxxxx 2. Description of the goods Non-Alloy Steel Slabs by M/s. Shree Ganesh Steel Rolling Mills Ltd. Chennai - 19 vide 9 Nos. B/E No. 695193 dt. 7.10.04 702063 dt. 20.10.04 702064 dt. 20.10.04 relating to import from M/s. Frovia 789077 dt. 18.04.05 793416 dt. 25.04.05 794998 dt. 27.04.05 809872 dt. 24.05.05 829588 dt. 28.06.05 823585 dt. 17.06.05 relating to import from M/s. N.V. Steel International S.A. xxxxx xxxxx xxxxx xxxxx xxxxx 7. Report A total of 51 slabs pertaining to all the 9 Bills of Entries representing the entire lot of goods was offered for physical Inspection and testing. All the 51 slabs were subjected to dimensional and surface inspe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ten convex or concave and may retain marks caused during the manufacturing processes (e.g. roller marks). 7. On above reading of the MSME Report, IS 2830, HSN and the findings of the adjudicating authority, it may be noted that specified value as per IS 2830 - 2003 as mentioned in the MSME Report is in conformity with the specification of IS 2830. Further, Observed Value as mentioned in MSME Report is on the basis of specification IS 2830 and it is within the limit as specified in IS 2830. But, the adjudicating authority while reproducing the Observed Value in the adjudication order had totally overlooked the remarks column within the limit . Furthermore, para 11.1 of IS2830 as mentioned above, provides that the sizes shall be subject to mutual agreement between purchaser and the manufacture. In the present case, it is seen from the documents placed by the Revenue that the imported goods are cut in various sizes at the request of the customers. Moreover, as per HSN, slabs are not required to be made exactly to size, the edges are not accurate. In the above perspective, we find that MSME Report is based on the specification of IS 2830. The adjudicating authority failed to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed that NML is a specialized agency dealing with metals and therefore, it has accepted the conclusions given by them. It is further observed that its materials evaluation and characterization facilities compare with the best in the world. We are concerned with the particular test report NML and MSME and therefore we would not like to express any opinion on the competency of expert opinion of NML and MSME. In this context, it may be referred that the Tribunal in the case of Sabari Exim Pvt. Ltd. (supra) rejected NML report and accepted imported non-alloy steel blooms as prime quality on the basis of report of other agency, imported in December 2002 and extended the benefit of exemption Notification No. 21/2002-Cus. (supra). Apart from that, as contended by the appellant, the Department released the goods in respect of six Bills of Entry on the basis of the same MSME Report. 11. In view of the above discussion, after examining MSME Report as per order of the Hon'ble High Court, we are of the view that MSME report should be accepted, wherein it has been opined that the goods in question are of prime chemistry and meet the quality requirements of prime quality. Accordingly, the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
