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Customs, Excise and Gold Tribunal - Delhi

Collector Of Customs vs Swadeshi Polytex Ltd. on 5 January, 1996

Equivalent citations: 1997(93)ELT194(TRI-DEL)

ORDER

U.L. Bhat, J. (President)

1. Appellant imported 900 metric tonnes of Dimethyl Terphthalate from Spain. It was shipped in vessel M.V. Hero. The vessel was grounded near Greece and the consignment was transferred to another vessel S.S. Vishva Tej. When the respondent filed bill of entry showing the invoice price C.I.F., the Assistant Collector added the extra freight and insurance charges which the respondent had to bear on account of the grounding of the ship and transfer to another ship, over-ruling the contention of the respondent that such additional expenses could not be included in the assessable value. The Collector (Appeals) set aside this enhancement and assessable value. The department, being aggrieved, has filed the present appeal.

2. An employee of the respondent appeared before us and pleaded for adjournment on the ground that though notice had been received, the respondent could not trace the records. In an appeal filed in 1987, we do not think this is a reasonable request. The request for adjournment is rejected.

3. The declared value includes the normal C.I.F. value. What was sought to be added was the extra freight and insurance charges which the respondent had to incur on account of grounding of the original vessel and transfer to another vessel. Ordinarily, such extra charges are not taken into consideration by the Customs House, since the Customs House goes by the actual freight or a particular percentage of price. In these circumstances, we are not inclined to interfere. The appeal is dismissed.