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TMI Blog2024 (5) TMI 472X X X X Extracts X X X X X X X X Extracts X X X X ..... ependently driven by separate battery-powered electric motors. Also, it is observed that the goods as imported by the Respondent fulfil the description as provide in explanatory notes to CTH 8708 as mentioned at Sl. Nos. (a) to (n). Moreover, the lower authority in its findings has not adduced any evidence that the goods imported by the Respondent are in CKD condition and provides the essential characteristic of e- rickshaw. As per the terminology of CTH 8703 in order to have the essential characteristics of three wheeled vehicle the same has to be powered or there should be propulsion through a battery which provides the power to the motor in order to thrust a vehicle. It is on record that there is no battery available in the goods imported to provide power supply to the e-rickshaw. We agree with the findings of the Ld. Commissioner (Appeals) that the interpretation of statutes should be in line with the Act i.e., the Customs Tariff Act, 1975, and should be purposive in nature and not strictly as a literal interpretation which will not serve the purpose of the Act and the other literal description as provided. Accordingly, we uphold the findings of the ld. appellate authority in t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Customs Act, 1962 for mis-declaration of description and classification of the goods. iii. Redemption fine of Rs.7,50,000/- under Section 125 of the Customs Act, 1962 was imposed. iv. Penalty of Rs. 75000/- was also imposed under Section 112(a)(ii) of the Customs Act, 1962. 2.2. On appeal, the Ld. Commissioner (Appeals) held that the goods as imported by the respondent are the spare parts of electric tricycle and accordingly, classified the same under CTH 8708.99.00. Further, the Ld. Commissioner (Appeals) observed that the value declared by the respondent in the impugned Bill of Entry was enhanced by the assessing officer in accordance with the change in classification of the goods as imported in CKD condition by the lower authority. However, relying on the judgment of Commissioner of Customs (General CFS) vs. Radhey Shyam Ratanlal reported in 2017 (358) ELT 965 (Tri. Mumbai), the Ld. Commissioner (Appeals) has observed that the enhancement of values was done without providing any logical reasons. Accordingly, the enhancement of value without following the due process as laid down in the Act and CVR-2007 and in violation of the principles of natural justice was rejected vide the i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e F.No. 528/42/95 - CUS (TU) with regard to Assessment of goods imported in CKD/ SKD condition prescribes reliance upon the said General Rules for the Interpretation of the Harmonized System in such cases. (v) The value was re-determined on the basis of contemporaneous import value of similar goods following the Customs Valuation (Determination of Value of Imported Goods) Rules, 2007 and the evidence for such re-determination of value was availed from the National Import Database maintained by the Directorate of Valuation, Mumbai. (vi) Since the goods were found to be mis-declared in terms of description, classification and value hence the same were liable to confiscation and the importer liable to penal action under provisions of Customs Act, 1962. Hence holding the impugned consignments not liable to confiscation and dropping of penal provisions are bad in law and the said Order-in-Appeal is liable to be set aside. 4. The Respondent submits that the Ld. Commissioner (Appeals) has given well-reasoned findings in the impugned order and they reiterate the findings of the Ld. Commissioner (Appeals) therein, praying for rejection of the appeal filed by the Department. 5. Heard both si ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... icle shall be taken to include a reference to that article incomplete or unfinished, provided that, as presented, the incomplete or unfinished articles has the essential character of the complete or finished article. It shall also be taken to include a reference to that article complete or finished (or falling to be classified as complete or finished by virtue of this rule), presented unassembled or disassembled. 6.4. We agree with the findings of the Ld. Commissioner (Appeals) that the interpretation of statutes should be in line with the Act i.e., the Customs Tariff Act, 1975, and should be purposive in nature and not strictly as a literal interpretation which will not serve the purpose of the Act and the other literal description as provided. In this regard, the Ld. Commissioner (Appeals) has referred the judgment of Hon'ble High Court in the case of Macneill Engineering Ltd. Vs. Commissioner of Customs (Port), reported in 2014 (310) ELT 33 (Cal.), wherein it has been held as under: More often than not, in the interpretation of statutes, the Court should make a purposive interpretation of their provisions. A strictly literal interpretation may not serve the purpose of justic ..... X X X X Extracts X X X X X X X X Extracts X X X X
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