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"31.2 From a complete reading of above mentioned entry in the Notification, I find that it provides exemption for Life saving drugs/medicines including their salts and esters and diagnostics test kits specified List 4, Bulk drugs used in the manufacture of life saving drugs or medicines at and other life saving drugs or medicines. The emphasis/intent while granting duty exemption is that the drugs/medicines/their salts and estors/bulk drugs/diagnostic test kits should be for life saving meaning thereby that the diagnostic tests should also be relating to diagnosis of illness in humans and animals. A perusal of the list 4 shows that it contains such life saving drugs/medicines/their salts and esters and diagnostics test kits which are for saving lives/related to medical diagnosis. The term „diagnostic‟ used with test kits in the main body of the Notification gives a specification to all the items listed in the List 4 that they are for saving the lives. The S.No.of the List which the importer claims that their food testing kits falls into is an absurd interpretation of the aforesaid Notification as such kits are not meant for diagnosing illness in living beings. The food testing kit is not meant for diagnostic purposes within the meaning of Heading 3822 as per the Explanatory Notes of HSN and also the purpose and intent of aforesaid Notifications. The change in the description by the importer fro ELISA kit for food testing to ELISA kit for diagnostic purposes amply shows that the importer also knew that their goods do not fall within the purview of the Notification being food testing kits only."

25. The appellant, Shri Ashish Bhandari, Managing Director of M/s Ilishan Biotech India Pvt Ltd has assailed the impugned order in so far as it imposes penalty of Rs.5,00,000/- under Section 114AA of the Act. The Adjudicating Authority recorded finding that Shri Ashish Bhandari is the key person in the day-to-day affairs of the company and his role is evident in misdeclaration resorted from June 2019, whereby the description of the goods imported were changed from „ELISA kit for food testing‟ to „ELISA kit for diagnostic use only‟. The role played by the appellant resulted in short payment of duty, and, therefore, he is liable to be penalised. We have no hesitation in agreeing with the conclusion arrived at by the Adjudicating Authority. We would like to take note of the statement made by Shri Ashish Bhandari under Section 108 of the Act whereby his effort was to further mislead and dilute the stand that the testing kits for food and diagnostic test kits are one and the same thing. Hence we do not find any reason to interfere with the impugned order. Accordingly, the appeal stands dismissed.