1997 (8) TMI 300 - AT - Customs

Tribunal Remands Customs Classification Decision, Emphasizes Expert Opinions

The Tribunal set aside the Collector of Customs' order and remanded the matter for fresh consideration. It emphasized the importance of expert opinions ... Expert opinion when discarded without reasons by adjudicating authority - Matter to be remanded Issues:Classification of goods under Customs Tariff Act, 1975 - Expert opinion on nature of imported goods - Consideration of multiple expert opinions - Justification of impugned orders.Analysis:1. The appeal was filed against the Collector of Customs' orders regarding the classification of goods. The Collector held that the goods were not assessable under a specific heading and should be levied duty under a different heading. The appellants sought clearance under a specific category, but the department disagreed, stating that the goods were not discreet devices but comprised integrated circuits mounted on a carrier. A show cause notice was issued, and the appellants responded.2. The department obtained an opinion from Prof. Sonde of the Indian Institute of Science, who opined that the items could be considered electronic micro assemblies. However, the adjudicating authority did not fully rely on this opinion, leading to a contention by the appellants that the authority should have sought further clarification from the expert. The appellants also provided opinions from two other experts, which were not adequately considered.3. The JDR for the department argued that the goods did not fit the criteria for electronic micro-assemblies as per the HSN Explanatory Notes. He emphasized that the items were not molded modules and lacked certain characteristics required for classification under a specific heading. The exclusion cited in the HSN Explanatory Notes was deemed relevant to the classification of the goods.4. The Tribunal noted that the department itself had sought expert opinion, indicating the necessity of such input. The opinion of Prof. Sonde and another expert, Shri Poovanna, were crucial in determining the classification of the goods. The Tribunal found that the adjudicating authority should have given more weight to these expert opinions and sought clarification before making a decision.5. Considering the expert opinions provided by Prof. Sonde and Shri Poovanna, the Tribunal concluded that the impugned order was not sustainable. It set aside the order and remanded the matter back to the adjudicating authority for a fresh consideration based on the observations made regarding the expert opinions and the classification of the goods under the Customs Tariff Act, 1975.