UNITED BROTHERS Vs. COMMISSIONER OF CENTRAL EXCISE, CALCUTTA

JUDGEMENT

(1.) THE appellants pursuant to two contracts dated 17 -6 -1994 and 7 -7 -1994 with M/s. Hagen and Miller Chemicals, USA were sent consignment of goods which were declared as LDPE Film Grade Wide Spec in the Bills of Entry which they filed in the Calcutta Customs House, on 19 -10 -1994, 21 -10 -1994, 22 -11 -94 and sought clearance for home consumption against DEEC, Value Based Advance Licence No. 0315781 and BE dated 22 -11 -94 as filed for warehousing.

(2.) THE Customs Officers, acting on an information, that some unscrupulous importers were importing Prima Plastic Material misdeclaring the same as Wide Spec and OFF Grade subjected these consignments to a detailed examination and enquiry.

(3.) THE examination revealed the goods on visual examination to be, SHINY Transparent Granules of irregular size imported in OCTABINS of 500 kgs. and 25 kgs. plastic bags with labels showing the goods to be of Spanish origin. Some of the bins showed mark PRIMACOR, which on enquiry was found to be the Brand Name of EAA Adhesive manufactured by DOW USA and to be Ethyelene Acrylic Acid Co -Polymers and not Poly Ethyelene either Low Density or a High Density and classifiable under 3901.90 and not under as LDPE under 3901.10 or 3901.20. On submissions of literatures for the goods under import they were found to be related to some other types of LDPE material produced by DOW. The melt index as per certificate produced by the importers ranged between 3.55 to 9.6 while the Acrylic Acid content ranged from 6.3 to 9.1. The manufacturer in Spain certified, the material shipped by them to be OFF GRADE ethylene copolymers which was disposed off as WIDE SPEC/OFF GRADE at a discounted price as it did not confirm to any prime virgin material specification.