Customs, Excise and Gold Tribunal - Mumbai
Commissioner Of Customs vs Genius Leathercraft Pvt. Ltd. on 19 May, 2004
Equivalent citations: 2004(95)ECC121, 2004(173)ELT443(TRI-MUMBAI)
ORDER Moheb Ali M., Member (T)
1. It is a Revenue's appeal against the order of the Commissioner of Customs (Appeals), Mumbai. In the impugned order, the Commissioner (Appeals) held that trolley carts under import are parts and components falling under Exim Code 39269009.40 of the ITC (HS) Classification of Export and Import items and are freely importable.
2. The Revenue's contention is that the goods under import are not parts or accessories of school bags made out of plastic but are complete articles in themselves and are classifiable under Exim Code 39269009.90 of the ITC (HS). The effect of such classification under ITC (HS) would be that the goods are restricted under the Import Policy. In the absence of a valid import licence, they are liable to confiscation as held by the original authority.
3. None appeared for the respondents. Heard the learned DR, Shri K.K. Srivastava, and perused the records.
4. The Commissioner (Appeals)'s reasoning is that according to para 7(29) of the Exim Code, 'part' means an element of a sub-assembly or assembly not normally useful by itself and not amenable to further disassembly for maintenance purposes. A part may be a component or an accessory. Therefore, accessory is covered by 'part' in terms of the Exim Policy. He accordingly held that the impugned goods are parts and components falling under Exim Code 39269009.40 of the ITC (HS).
5. We observe that the goods under import are articles of plastic. They cannot be considered as accessories of school bags, as school bags themselves are complete articles and trolley carts cannot be considered either as accessories or as parts of school bags. It cannot be argued that a school bag is incomplete without a trolley cart. The fact that school bag can be kept on a trolley cart does not make a trolley cart as accessory of such bag. For the purpose of ITC (HS) classification, they are correctly classifiable under 39269009.90. The goods are restricted and cannot be imported without a valid licence. We hold that the Commissioner (Appeals)'s reasoning is not correct.
6. We allow the appeal of the Revenue and set aside the order of the Commissioner (Appeals).
(Operative part pronounced in court)