MANAKSIA LTD. Vs. COMMISSIONER OF CUSTOMS (PORT), KOLKATA

JUDGEMENT

(1.) AFTER hearing both sides and considering the issue involved in this appeal, we take up the appeal at this stage after waiver of pre -deposit.

(2.) THE importer is a manufacturer, who had indented Aluminium ingots from Malaysia. For the first time, they were dealing with this supplier. When the goods came, they retired the documents from the Bank, then filed the Bill of Entry, declaring the goods as Aluminium ingots as per the indent and shipping documents and presented a DEEC licence, covering the value and description of Aluminium ingots permitted to be imports and cleared duty free. On examination, the goods were found to be compressed Aluminium scrap, in cake form, and not Aluminium ingots. The importer, thereafter presented another DEEC licence permitting and covering the value and goods of description Aluminium scrap. The substitution of licence for the clearance of the goods were not allowed by the Customs authorities. The ld. Commissioner concluded that this was a case of misdeclaration of the goods and an attempt to clear the consignment of scrap by declaring the same as Aluminium ingots. The confiscation of the said goods has been arrived at under Section 111(m) and Section 111(o) of the Customs Act, 1962. Redemption fine of Rs. 10.00 lakhs (Rupees ten lakhs only) has been offered to the importer to redeem the goods, personal penalty of Rs. 10.00 lakhs (Rupees ten lakhs only) has been arrived at under Section 112 of the Customs Act, 1962. The impugned order further directed that the exemption under notification of DEEC, in the present case, cannot be allowed and the licence cannot be accepted, the transaction price is rejected and the goods are directed to assessee on merits on the prices of import available as per Director of Valuation deta.