COMMISSIONER OF CUSTOMS Vs. KALRA EXIM PVT. LTD.

JUDGEMENT

(1.) THE respondent filed Bill of Entry No. 4219611 dt. 29.7.2011 at Chennai Custom House for clearance of imported goods declared as White Wine, Red Wine, Extra Virgin Olive Oil JJ and Extra Virgin Olive Oil MR imported from their overseas supplier M/s. Morais Rocha, Portugal. In view of CBECs Circular No. 58/2001 dt. 25.10.2001 and 03/2011 dt. 6.1.2011, after examination of the subject goods the custom officers referred the goods to Food Safety and Standards Authority of India (FSSAI), Chennai for their clearance under the Food Safety and Standards Act, 2006 and Rules and Regulations made thereunder. The Authorized Officer, FSSAI, Chennai vide letter No. F. No. 1/2011/FSSAI/CHN -IMPORT dated 5.10.2011 informed that the goods in question did not meet the labeling requirement under the Food Safety and Standards Act, 2006 and Rules, Regulations 2011 made thereunder and hence samples could not be drawn for further testing. The labeling requirements which were not met for each of the items were specified as under:

(2.) RED Wine

(3.) REVENUE has filed appeal for setting aside the above order of Commissioner (Appeal) and restoring the adjudication order. Arguing for Revenue, Ld. AR submits that the order of Commissioner (Appeals) is not legally sustainable because he relied on clarification issued on 23.3.2012 to decide contravention of law in respect of goods imported on 29.7.2011. At the time of import, imported goods were contravening the provisions of law then in force and therefore the goods were liable to confiscation. So he submits that the order is legally not correct and prays that it should be set aside and the original order should be restored. He relies on the decision of the Hon. Madras High Court in a similar matter of import of white oats imported during June 2011, by Avenue Impex Vs. CC in CMA No. 1088/2012 dt. 8.10.2012. Especially, he relies on para 35 of the order which reads as under: -