IRON MASTER (I) PVT. LTD. Vs. CC

JUDGEMENT

(1.) THESE appeals are directed against duty demands and penalties imposed under order in original No. 27/ADJ/Skas/2001 dated 28.3.2001 passed by the Commissioner of Customs (Gen.), New Delhi. The appellant M/s Iron Master India Pvt. Ltd. imported 7 consignments of Casio brand musical instruments during the period June, 1997 to September, 1998. The impugned order has held that the imported goods had been undervalued causing of short levy of custom duty of over Rs. 21 lakhs. Duty demand and penalties are consequent to this finding.

(2.) THE only material relied upon for reaching a finding regarding undervaluation is the price of comparable goods imported by M/s Jay International. While the appellant's imports were at Delhi, the imports of Jay International were carried out at Bombay.

(3.) THE appellants have contested the findings and duty demand on merits as well as on the issue of time bar. On the issue of time bar, the appellant's submission is that the demand in respect of 6 out of the 7 consignments has been raised beyond the normal time limit, even though none of the factors (collusion, willful mis -statement or suppression of facts by the importer etc.) permitting the raising of demand for the extended period was present in the instant case. Only in the case of import under bill of entry No. 000165 dated 18.9.1998 the demand is within time limit since the original clearance of the goods was on provisional assessment. The appellants have submitted that they were regularly importing the musical instruments from the authorized dealer of the Japanese manufacturer and they had declared the transaction values in the import documents and those declarations were in conformity with the purchase price shown in the invoices. Thus, there was no mis -declaration or mis -statement of facts to evade payment of correct amount of duty. They have, therefore, urged that the demand in respect of Bills of Entries other than bill of entry No. 000165 dated 18.9.1998 is required to be set aside on the ground of time bar alone.