GOYAL EXPORTS Vs. COMMISSIONER OF CUSTOMS

JUDGEMENT

(1.) HEAVY Melting Scrap imported by the appellants herein has been confiscated on the ground that the assessees did not produce pre -shipment inspection certificate as required under the EXIM Policy, with an option of redemption on payment of a fine of Rs. 2,00,000/ - and, in addition, a penalty of Rs. 50,000/ - has been imposed upon the importers.

(2.) I have heard both sides. I find force in the submission of the assessees that requirement of production of pre -shipment inspection certificate was introduced for the first time only in October, 2004 vide Public Notice No. 16/2004 -09. However, the goods in this case were exported prior to that date. As per the Board's -Cus. dated 18.10.2004, if scrap has already landed in India and left its port of origin on or before 25.10.2004 and not yet cleared, procedure to be followed is 100% physical examination. In this case, it appears that 100% physical examination was carried out and as declared, the goods were found to be metal scrap in the consignment. Since the requirement of production of the certificate came in subsequent to the import, the goods in the present case did not require to be covered by a pre -shipment inspection certificate. I, therefore, set aside the confiscation and penalty and allow the appeal.