9911796707
TMI Blog1994 (4) TMI 86X X X X Extracts X X X X X X X X Extracts X X X X ..... ners entered into two contracts with Osram Bmbh, West Germany for the purchase and import of Sodium Vapour Lamps for an aggregate value of Rs. 1,73,491/- and Rs. 46,898.20 respectively. After the consignments under the two contracts reached Bombay, the petitioners filed two bills of entries on September 2, 1985 and September 3, 1985 for clearance of the consignments and offered the additional licence dated October 11, 1984. The petitioners also addressed two letters dated October 24, 1985 to the Customs Authorities setting out the reasons as to why Sodium Vapour Lamps were eligible for clearance under the additional licence. 2.On October 30, 1985, the Customs Authorities served two show cause notices upon the petitioners inter alia claimi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sums of Rs. 1,70,000/- and Rs. 45,000/- in respect of two consignments was directed to be paid by the petitioners. The petitioners have preferred the present writ petition to challenge the correctness of the order. 4.Shri Hidaytullah, learned Counsel appearing on behalf of the petitioners, submitted that Sodium Vapour Lamps are qualifying as spares permissible under Para 186(8) of the Import Policy. The learned Counsel urged that the conclusion of the authority that Sodium Vapour Lamps are a complete item in themselves and hence do not qualify as spares, is not correct. The learned counsel further urged that it is necessary to take into consideration the commercial understanding of the terms referred to in the Import Policy and in the tra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion i.e. ready to replace an identical similar part or sub-assembly or assembly, if it becomes faulty or worn out and includes an accessory (or attachment) in the same regard." The additional licence is granted to the petitioners in accordance with Clause 186 of the Import Policy and Clause 186(8) inter alia provides that additional licence will also be valid for import of spares of the item falling under Heading No. 85.20 in Chapter 85 of Schedule I of Appendix 2 which reads as follows :- "Electrical filament lamps and electric discharge lamps (including infra-red and ultra-violet lamps); arc-lamps; electrically ignited photographic flashbulbs." Shri Hidaytullah urged that Sodium Vapour Lamps fall within the expression 'spares' becau ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Lamps by treating them as spare parts of light fitting. 6.Shri Hidaytullah submitted that the terms of the Import Policy should be understood in accordance with the trade or commercial meaning. It was contended that in the trade, Sodium Vapour Lamps are considered as spares and in support of the submission, reliance is placed on the affidavit sworn in by Ajit Mirchander, Deputy General Manager of M/s. Bajaj Electricals Ltd. The perusal of the affidavit indicates that in the event of the breakdown, it is not possible to replace any of the parts of the lamp and it is necessary to substitute the same by a fresh one. Mirchander claimed that ready available stock of bulbs or lamps as replacement is kept and these are described as spare bulbs a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... toms Authorities had consistently permitted clearance under Advance licence of studio bulbs and projection lamps which are identical to the Sodium Vapour Lamps in terms of function and use. Reliance was placed on the circular dated January 29, 1979 in which studio bulbs and projection lamps were considered as spare parts and not consumables. The submission that on the strength of the circular, Sodium Vapour Lamps should be treated as spares, cannot be accepted because the circular recites that studio bulbs and projection lamps are highly specialised types of lamps and which can be used only with special fittings. It is not possible to compare studio bulbs and projection lamps with the Sodium Vapour Lamps which are regularly used for the pur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... '. It is not in dispute that if Sodium Vapour Lamps are consumer goods, then the additional licence dated October 11, 1984 offered by the petitioners in respect of import of lamps was not valid and the import was without any licence. The adjudicating authority was therefore perfectly justified in directing confiscation of the goods and in view of the clearance of the goods in pursuance of the order of this Court, imposing fine in lieu of order of confiscation. In our judgment, the two orders dated February 4, 1986 and February 13, 1986, copies of which are annexed at Exhs 'M' and 'N' respectively to the petition, do not suffer from any infirmity and the petition must fail. 8.Accordingly, rule is discharged with costs. In case the amount o ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
