Assessable value and redemption fine require contemporary import evidence and market value consideration before customs adjudication.

Assessable value of an imported car cannot be fixed merely by reference to the prevailing domestic price in the foreign market; it must rest on contemporary evidence relevant to the importation, so the valuation adopted by the Commissioner was unsustainable. Redemption fine under section 125 of the Customs Act must be determined with due regard to market value; as that factor was not considered, the fine was not in accordance with law. The matter was remanded for fresh adjudication by the jurisdictional Commissioner after hearing the assessee and permitting all connected pleas.

---

---

Issues: (i) Whether the assessable value of the imported car could be determined on the basis of the prevailing domestic price in Japan; (ii) Whether the redemption fine could be fixed without considering the market value under section 125 of the Customs Act.

Issue (i): Whether the assessable value of the imported car could be determined on the basis of the prevailing domestic price in Japan.

Analysis: The basis adopted for valuation was held to be unsound because assessable value must rest on contemporary evidence relevant to the importation and not merely on the prevailing domestic price in the foreign market.

Conclusion: The valuation adopted by the Commissioner was not sustainable.

Issue (ii): Whether the redemption fine could be fixed without considering the market value under section 125 of the Customs Act.

Analysis: The redemption fine was found to have been determined without taking into account the market value, which was required to be considered under section 125.

Conclusion: The determination of redemption fine was not in accordance with law.

Final Conclusion: The matter was sent back for fresh adjudication by the jurisdictional Commissioner after allowing the assessee to raise all connected pleas and after granting opportunity of hearing.

Ratio Decidendi: Assessable value must be determined on the basis of relevant contemporary evidence, and redemption fine under section 125 must be fixed with due regard to market value.

---