Customs, Excise and Gold Tribunal - Mumbai
Commissioner Of Customs vs Kedia Agglomerated Marbles Ltd. on 13 January, 2005
ORDER T. Anjaneyulu, Member (J)
1. Heard. The Commissioner of Customs (Adjudication) has dropped the proceedings vide Show Cause Notices No. (1) DRI/BZU/E/37/S/10-19/95 ADJ. dated 19.055,1995 and (2) DRI/BZU/E/3/37/94/S/16-GEN-DEEC-75/JCH dated 03.04.1997 and ordered for release of seized goods.
2. The Central Board of Excise & Customs, New Delhi, had examined the records and directed the Commissioner to apply before this Tribunal to satisfy as to the legality and propriety of the impugned order. Hence this appeal.
3. An intelligence was received by the Bombay Zonal Unit of the DRI to the effect that M/s Kedia Agglomerated Marbles Ltd. were importing Italian marbles, clearing the same duty free, under DEEC Scheme and selling with open market after clearance from the Customs Department. It was also gathered that the exporter was exporting the tiles of agglomerated marble, which were manufactured from the lumps of marble for fulfilling their export obligation under the DEEC Scheme. M/s. Kedia Agglomerated Marbles Ltd. had exported "Marbella" brand agglomerated marble tiles manufactured from lumps/grits of marble after addition of resin, certain additives, colour and cement, etc. Since the goods exported were not manufactured from the imported marble slabs, but were manufactured from the grit/lump of marble, the nexus was not established and accordingly the case was taken for thorough investigation by the DRI Zonal Unit, Bomay.
4. The matter involves -
a) The value of the goods for the purpose of assessment.
b) Denial of benefit of Notification No. 204/92 and resultant duty involved Rs. 54,47,140/-.
c) Imposition of fine and penalty.
5. It is urged by the Department that:-
a) In the instant case, the nexus with import and export is not established, therefore, the goods were not entitled to the benefit under the DEEC Scheme.
b) The Notification No. 204/92 permits duty free clearance of materials, which are defined with explanation clause annexed to the Notification as 'Raw materials, components, intermediates, consumables, computer soft ware and parts required for manufacture' of export products'.
c) The Commissioner has brushed aside the contemporary evidence of identical goods noticed at the higher rate by another importer. The scrutiny of the Bill of Entry and invoices revealed that M/s. Kedia Agglomerated Marbles Ltd. have never disclosed the grades of the marble imported by them against these Bills of entry, though the value of marble depends on the grade of marble also. This fact alone gave an indication that the invoices were manipulated and were not made strictly with reference to the grade and the description of the marbles imported.
6. In view of the grounds alleged with regard to the impugned order, it is felt expedient to remand the matter back to the Commissioner to re-adjudicate the same keeping in view the points raised above after hearing both the parties.
7. Hence, appeal is allowed as remand in above terms.
(Pronounced in Court on 13.01.2005)