1990 (3) TMI 228

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....hort, besides a penalty of Rs. 5,000 under Section 112 of the Act. 2. Proceedings were instituted against the appellants on the ground that the appellants had imported tin plate waste from U.S.A. on 3-12-1988 and sought clearance of the same under OGL Appendix 6, List 8, Part I, Item 850 of the Import & Export Policy, A.M. 1988-1991 without being actual user. The authorities issued a show cause notice making the following allegation :- "Importation of tin plate waste/waste as per IS : 10340 is permissible under OGL Appendix 6 List 8 Part I Item 850 of Import & Export Policy, April 1988-March, 1991 by Actual Users (Industrial) and Export Houses/Trading Houses as the raw materials, components, consumable and tools. M/s. Edison &....

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....me. 4. Heard Shri Vedantham, the learned D.R. 5. We have carefully considered the submissions made before us. It is not disputed before us that the appellants were not in possession at the relevant time of any Industrial Licence for import of tin plates waste. It cannot be gainsaid that though tin plates waste is permissible for import under OGL under the relevant Licensing Policy of the Government, the same is subject to the actual user condition. Appendix 6 of the Policy cited supra in respect of actual user condition reads as under :- "(1) All actual user at the time of clearance of goods shall furnish to the customs authorities a declaration giving particulars of their Industrial Licence or Registration as an Actual U....

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....ellants did not have any such Industrial Licence as envisaged in the Policy. Therefore, the findings of the adjudicating authority that the import is unauthorised for want of Industrial Licence for the manufacture of the end-product viz., tin containers by the appellants and, therefore, would not enable the appellants to import the tin plate wastes under OGL is well-founded. In view of this finding, we do not go into the other question as to whether the goods were tin plate wastes or tin plates seconds, since even from the impugned order we find that no chemical analysis was made of the goods in question and the adjudicating authority would appear to have relied on his own verification of the sample to hold that the goods were tin plates se....