COMMISSIONER OF CUSTOMS Vs. MICRO LABS LTD.

JUDGEMENT

(1.) THE respondents herein presented a bill of entry dated 12.01.2005 for assessment and clearance of 'measuring tapes' along with other goods like stethoscope holder and testing pin etc. For the import of 'measuring tapes', registration with the Department of Weights and Measures in accordance with the Standards of Weights and Measures Act, 1976 (hereinafter referred to as SWM Act) was required. Since the importer was not so registered, the 'measuring tapes' were held to be liable for confiscation. Show -cause notice was waived and personal hearing was granted to the importers by the Additional Commissioner of Customs who held that registration was mandatory for export or import of any weight or measure under Section 47 of the SWM Act. He, therefore, ordered confiscation under Section 111(d) of the Customs Act, 1962 read with Section 47 of the SWM Act, 1976 with an option to redeem the goods on payment of a fine of Rs. 80,000/ - along with applicable duty, and also imposed a penalty of Rs. 20,000/ - on the importer under Section 112(a) ibid. The Commissioner (Appeals) accepted the contention of the importers that they were neither dealers nor manufacturers and set aside the adjudication order, hence this appeal by the Revenue.

(2.) I have heard both sides. In terms of Section 47(1), no dealer or manufacturer shall export or import any weight or measure unless he is registered under the Section as such exporter or importer as the case may be. Section 2(c) of the SWM Act defines a "dealer" as a person who, or a firm or a Hindu Undivided Family, which carries on, directly or otherwise, the business of buying, selling, supplying or distributing any such weight or measure, whether for cash or for deferred payment or for commission, remuneration or other valuable consideration, and includes -