SUSHIL KUMAR KAYAN Vs. ASSISTANT COLLECTOR OF CUSTOMS

JUDGEMENT

(1.) The appellant imported a consignment, weighing 1995.180 Metric Tons of Seconds/Defective Zinc Aluminium Sheets in coils from European Economic Community in August, 1985 and declared the value of the goods at Rs. 2440.76 per metric ton. On 25th September, 1985, the said goods were examined on the original Bill of Entry and the goods were found to be as per declaration on the Bill of Entry. There is no dispute that the goods imported are seconds/defective Zinc Aluminium Sheets in Coils. The appellant kept the goods in the warehouse of the West Bengal State Warehousing Corporation.

(2.) After over a period in September/October, 1986, the Customs Authorities assessed the value of the goods at Rs. 3,995/- per metric ton against the appellant's declared value of Rs. 2,440.76 per metric ton.

(3.) The appellant moved a writ application in this Court challenging the said enhancement and asserting that there was no basis or material available with Customs Authorities to enhance the value of the goods. The Learned Single Judge passed an interim order directing release of the goods upon the appellant's furnishing a bank guarantee for 50% of the disputed customs duty and a personal bond for balance of the disputed duty. Pursuant to the said order, a bank guarantee of Rs. 15,66,005/- representing 50% of the total disputed duty of customs was furnished by the appellant on 29th June, 1987. The appellant also furnished a bond in terms of the said order.