V.K. INTERNATIONAL Vs. COMMISSIONER OF CUSTOMS

JUDGEMENT

(1.) HEARD both sides and perused record.

(2.) THE appellant is a manufacturer of studded jewellery. It imported gold mounting for use in such jewellery and claimed concessional assessment of the imported mountings, as available under Notification No. 62 of 2004 dated 12 -5 -2004. Under the impugned order that claim to concession assessment has been rejected on a finding that what is under import is gold jewellery (not gold) in view of Rule 2(a) of General Rules for the Interpretation of the 1st schedule to the Customs Act and exemption is not available to gold jewellery.

(3.) THE contention of the learned Counsel for the appellant is that what was under import was only 'mountings' for making jewellery and the essential character of jewellery emerged from the diamonds or other stones fixed on the mounting. It is being pointed out that the authorities were in error in holding that mountings had the essential character of jewellery. It is also being pointed out that this position remains clarified in the circular dated 29 -3 -2006 of the Central Board of Excise and Customs.