BIS registration on import date governed liability; confiscation stood, but redemption fine and penalty were reduced.

BIS registration in force on the dates of import governed liability, and the later deletion of the relevant item was not treated as retrospectively clarificatory. On that basis, confiscation of the imported goods was upheld. However, because the importer had tried to obtain registration well before the imports and the surrounding facts did not justify a severe monetary consequence, the redemption fine and penalty were substantially reduced. The matter therefore succeeded only to the limited extent of relief on the quantum of fine and penalty, while the import-control breach itself remained undisturbed.

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Issues: Whether the goods imported without prior registration of the foreign manufacturer with the Bureau of Indian Standards were liable to confiscation and whether the redemption fine and penalty imposed were excessive.

Analysis: The requirement of BIS registration was in force from 24.11.2000 and applied on the dates of import. The subsequent deletion of the item from the requirement was not treated as a clarificatory change having retrospective effect. However, the importer had attempted to secure registration well before the imports and the facts did not justify a heavy monetary consequence.

Conclusion: Confiscation was not disturbed, but the redemption fine and penalty were reduced substantially in favour of the assessee.

Final Conclusion: The appeal succeeded only to the limited extent of reduction of redemption fine and penalty.

Ratio Decidendi: A statutory import-control requirement prevailing on the date of import governs liability, and a later deletion from the policy is not retrospectively clarificatory unless clearly intended; however, the monetary penalties must be proportionate to the importer's conduct and surrounding circumstances.

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