9911796707
TMI Blog2008 (8) TMI 349X X X X Extracts X X X X X X X X Extracts X X X X ..... we direct the original authority to determine the value of the goods on the basis of the first report of inspection but without allowing deduction towards cost of reconditioning. The demand of duty shall be quantified accordingly - C/204 & 257/2008 - 841-842/2008 - Dated:- 5-8-2008 - S/Shri P.G. Chacko, Member (J) and P. Karthikeyan, Member (T) Final Order Nos. 841-842/2008, Stay Order Nos. 701-702/2008 Misc. Order No. 341/2008, dated 5-8- 2008 in Application Nos. C/SO/157, C/PD/205 C/EH/210/2008 in Appeal Nos. C/204 257/2008 REPRESENTED BY : Shri M.K.A.K. Mohiddin, JDR, for the Appellant. Shri A.K. Jayaraj, Advocate, for the Respondent. [Order per : P.G. Chacko, Member (J)]. - There are two appeals before ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... goods and reported that the total 'fair and reasonable value' appraised for the consignment was USD 37,380.90 (CIF) equivalent to Rs. 14,89,629/-. This value was acceptable to the Customs authorities. Accordingly, a show-cause notice was issued to the assessee proposing to reject the declared value and redetermine the value of the goods at Rs. 14,89,629/- under Rule 9 of the Customs Valuation Rules as also to confiscate the goods and to impose penalty on the assessee on the ground of misdeclaration of value of the goods. These proposals were contested. In adjudication of the dispute, the original authority upheld the above proposals. That authority imposed a redemption fine in lieu of confiscation of the goods and also imposed a penalty, b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the inspection results. Of course, the goods were certified to be used xerox photocopier machines with accessories and attachments, and LCD monitors. Upon receipt of this report, the Assistant Commissioner of Customs in a letter dated 13-2-2008 called for the Chartered Engineers' comments on the fact that certain recent imports of 'Canon IR' series of colour copiers were valued in the range of USD 1800 per piece. In reply, the Chartered Engineers furnished a comparative account, wherein the features of Xerox 'DC-12' and 'IRC 3200' were compared and the value assessed for DC-12 machines was justified. The Chartered Engineers offered further clarifications in their subsequent letters to the Assistant Commissioner. One of these letters pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tc." They finally confirmed that their assessed values were fairly reasonable. Not satisfied, the Customs authorities obtained an inspection report from M/s. Inspectorate Griffith India Pvt. Ltd., who reported USD 37,380.90 CIF as the 'total fair and reasonable value' of the goods. This report also indicated the goods to be non-reconditioned and non-refurbished. The average residual life of the machines was reported to be 5 years or more with proper care and attention given towards periodic maintenance and servicing. Several factors were stated in support of this value. As already indicated by us, the second Chartered Engineer's report was adopted by the original authority. The first appellate authority found no reason for rejecting the fir ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rtered Engineer's valuation report that the second inspection was ordered. It appears from the records that the first report was not acceptable to the Customs authorities inasmuch as certain contemporaneous imports of second-hand xerox machines of 'Canon IR' model had been assessed in a higher range of values. The subject machines were not 'Canon IR' model, they were DC-12 model. M/s. SGS India Pvt. Ltd. gave a comparative account of the features of these two models and clarified their report to the department. We have perused their letter containing this clarification. No further correspondence from the side of the department has been brought to our notice, to show that any additional reason was stated for rejecting the clarifications offe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r (Appeals) requires to be modified. Accordingly, we direct the original authority to determine the value of the goods on the basis of the first report of inspection but without allowing deduction towards cost of reconditioning. The demand of duty shall be quantified accordingly. Needless to say, reasonable quanta of fine and penalty also will have to be determined. In this connection, the original authority shall consider the reliance placed by the assessee on Final Order No. 365/2008 dated 15-4-2008 [2008 (228) E.L.T. 604 (Tri.)] and Final Order No. 411/2008 dated 12-5-2008 passed by this Bench in Appeal Nos. C/94/2008 and C/149/08 respectively, which were cited before us in support of the assessee's prayer for reduction of fine and penal ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
