Import classification must follow undisputed invoice description; refund denial based on customs-control objection was unsustainable.

Imported parts of industrial sewing machines had to be classified according to the undisputed description in the import invoices, which described them as parts of industrial sewing machines TA-1 type worked by 1/4 H.P. Because that description was not challenged by the assessing authority, classification under Tariff Item 72(11) was held incorrect and the goods were treated as falling under Tariff Item 72(3). The refusal of refund claims on the grounds that the goods were out of customs control and that an earlier appellate order could not apply to similar imports was found unsustainable on the facts, and the refund rejection was set aside with consequential relief.

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Issues: Whether the imported parts of industrial sewing machines were correctly classifiable under Tariff Item 72(11) or Tariff Item 72(3), and whether the rejection of refund claims on the ground that the goods were out of customs control was justified.

Analysis: The invoices accompanying the Bills of Entry described the goods as parts of industrial sewing machines TA-1 type worked by 1/4 H.P. That description was before the assessing officer, who did not dispute it but nevertheless assessed the goods under Tariff Item 72(11), which applied to sewing machines requiring less than one quarter brake horsepower and their parts. On the basis of the undisputed invoice description, the assessment under Tariff Item 72(11) was held to be incorrect. The further reason given for rejecting the refund claims, namely that the goods were out of customs control and that the earlier appellate order could not govern the other similar imports, was held unsustainable in the facts.

Conclusion: The goods were held classifiable under Tariff Item 72(3) and the rejection of the refund claims was set aside.

Final Conclusion: The appeals succeeded and the appellants were granted consequential relief.

Ratio Decidendi: Where the import documents clearly describe the goods and that description is not challenged by the assessing authority, classification must follow the proved description and a refund claim cannot be denied on an incorrect tariff classification or on an untenable customs-control objection.

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