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TMI Blog2019 (8) TMI 224X X X X Extracts X X X X X X X X Extracts X X X X ..... analysed the values therein taken in such adjudication of identical / similar goods. We find that for that reasons also the adjudication order suffers from infirmity. The Ld. Commissioner could have gone in to the valuation of contemporaneous imports from NIDB or any other source or she could have examined the values arrived at in such bills of entry provided by the appellants. This was all the more important as the imports were at about the same time and were of similar products - Learned Commissioner could have come to a conclusion after analysing any other evidence in support of market enquiry before arriving at a conclusion. We do not find any mention of the efforts made by Commissioner to have a look at the contemporaneous imports and as to why she was resorting to Rule 7A of CVR. The values of disputed items were arrived at without following the CVR and without giving any cogent reasons for arriving at such a value. We are of the opinion that such a valuation has neither statutory backing nor legal acceptability - the Ld. Commissioner has erred in rejecting the transaction value and in fixing the value of the impugned goods. Appeal allowed - decided in favor of appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... marks that no such company exists at the said address. The Adjudicating Authority has rejected the value on presumption only and revenue did not put forth any evidence to reject the transaction value. The impugned goods were partially damaged. However, the Adjudicating Authority did not consider the report of M/s. SGS, and independent agency that 40% of the goods were in damaged condition. Though the Appellants relied upon import of similar / identical goods by M/s. Auto Stores, which was adjudicated, the authority has rejected the same as not reliable. All the statements of the Appellants were exculpatory. 3.1. The Learned Counsel further in his written submissions submits that the market enquiry report relied upon by the SCN was never furnished to them; the importer or his representative was not part of the enquiry. He submits that the adjudication order accepts the facts that the goods were found as declared with respect to description, quantity, brand and country of original; the only discrepancy was about the country of original in respect of paste. He also submits that Custom valuation rules 1988 was not followed systematically and correctly while re-determini ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ier to M/s. Ashu Automarts. The Appellants submits that the Learned Commissioner did not accept the values of contemporaneous import submitted by them; he also did not accept the prices of the item for which they have produced invoices. Learned Commissioner has given various reasons for not accepting the same. The crux of the findings of the Commissioner was that in those cases the department confiscated the goods and the same had gone through adjudicating proceedings; the authenticity of the bills produced by the Appellants is suspect etc. 6. However, the main contentions of the Appellants are that the Appellant was not party to the market enquiry; copy of the report was not provided by him and that the Commissioner has not proceeded sequentially in terms of Customs Valuation Rules. We find that Commissioner has heavily relied on the market enquiry which was not done in the presence of the either the Appellants or their representative. The copy of the market enquiry report was not given to the Appellants. We find that for this reasons the Order in Original suffers from a serious lacuna. As submitted by the Appellants we find that the Tribunal in the case of Saccha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... find that no such reasoning has been given as to why the Commissioner required to take the help of Rule 7A. Learned Commissioner has also not cross examined the officers who conducted market survey or the personal of SGS who examined the impugned goods and certified that a portion of the cargo is damaged. We find that Ld. Commissioner could have gone in to the valuation of contemporaneous imports from NIDB or any other source or she could have examined the values arrived at in such bills of entry provided by the appellants. This was all the more important as the imports were at about the same time and were of similar products. We find that Tribunal in the case of Ramdev Traders 2018 (359) E.L.T. 431 (Tri. - Chennai) observed that No doubt, the appellant had based their assessable value on invoice price of US$ 0.75 per piece. However, no grounds have been evidenced for rejecting the said declared value as not being transaction value. Even so, instead of following the sequences laid down in the Valuation Rules for redetermination of value, the department, for some reason, found it appropriate to work out the assessable value on the basis of market prices of the impu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he details of bill of entry dated 20-7-2011 produced by the importer indicating the clearance value of the pocket scale @ ₹ 68 per pc, and in the case of present imports, the price declared is ₹ 71 per pc. The rejection in the impugned order of the said evidence is more in the nature of arbitrary, when revenue has not come out with any other cogent evidence (other than market enquiry) to sustain the enhancement of the value for these goods. Therefore, following Hon ble Supreme Court decision in case of M/s. Eicher Tractors (supra) and CESTAT decision in case of M/s. Sara Electro Acoustics Pvt. Ltd. (supra) enhancement of value here is not sustainable. 9. We find also that the commissioner s reliance on export price of a product i.e. Stop Leak for determining the value of an imported product is against the established principles of valuation and hence not acceptable. In respect of GP Paste also Commissioner relies upon the Proforma Invoice of foreign supplier, without going in to the details like the quality, make, quantity supplied, purchase, bill of entry, actual invoice etc. Such an act suffers from the same infirmities which Learned Commissioner hers ..... 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