TERAI OVERSEAS LIMITED Vs. COMMISSIONER OF CUSTOMS

JUDGEMENT

(1.) The Court : The question that falls for determination in this writ application under Article 226 of the Constitution of India is whether the authorities concerned were justified in classifying 'necktie' exported by the writ petitioner as "made-up articles" thereby placing it under Heading No. 6203(c) of drawback table.

(2.) The fact giving rise to the instant writ application may be summarized thus: The petitioner exported two consignments of gents' 'necktie' with full length made of polyester fabric with different prints and designs made of woven fabric. After exporting such goods, the petitioner filed a drawback claim aggregated Rs. 39,18,241/-. The petitioner however classified the goods under coverage of Heading No. 6204 on the ground that necktie is a species of readymade garments. On July 7, 1997 the petitioner received a notice asking it to explain why draw back rate should not be granted under Heading No. 6203 of drawback table which deals with made up articles. Ultimately, by order date January 12, 1998 the Assistant Commissioner of Customs held that necktie comes within category 6203(c).

(3.) Being dissatisfied, the petitioner preferred an appeal before the Commissioner of Customs (Appeal) but such appeal was dismissed. The petitioner then preferred a revisional application before Central Government under section 129(DD) of the Customs Act. But by the order impugned herein the revisional authority has rejected such application thereby affirming the orders passed by the authorities below.