1998 (7) TMI 370

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....the appellant under Section 111(d) of the Customs Act, 1962 and covered by Bill of Entry dated 16-12-1996, but allowing redemption on payment of fine of Rs. 50,000.00, determining the value of the imported goods as Rs. 5,93,386.43 as against the declared value of Rs. 2,36,189.87 and imposing penalty of Rs. 30,000.00 under Section 112(a) of the Customs Act, 1962. 2. Appellant imported 50,000 sets of calculator parts of China origin supplied by a trader in Hong Kong. Invoice dated 4-12-1996 presented by the appellant referred to the component parts as Card, Key Pad + Rubber, LCD, Button Cell, Screw, Metal Connector and Stickers. The prices of these different components were shown in Hong Kong $ as 0.55, 0.10, 0.25, 0.08, 0.010, 0.016 ....

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....to three documents produced by the appellant, including the records of earlier import by the appellant himself. The goods covered by these documents, according to the appellant, covered similar parts of comparable goods of China origin. The declared value is comparable to the value shown in these documents and, therefore, it is contended that there was no justification to reject the transaction value. 4. The component parts covered by these five documents are as indicated below :- Description Sunway Valson Globax  Ltd. Page 69 Globax  Ltd. Page 71 Equity Industrial Co.  Page 73 1. Chip Card included  included  included  not included included 2. Key Pad ....

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....ice. This appears to be completely justified. 6. At page 61 is seen the list of components and the assessed value. This list refers to certain components, namely, Button Cell, Metal Connector, Sticker. Nevertheless, the adjudicating authority has enhanced the value of these three items also without indicating the basis of such enhancement. Shri M. Ali, JDR at one stage suggested that the enhancement must have been on pro-rata basis depending on the extent of enhancement of the other four items. We find on verification that the enhancement based on Valson Ltd. invoice is not at a uniform rate. Later, Shri M. Ali, JDR suggested that the enhanced value of Button Cell is based on yet another invoice of Cromex Industrial Co. Ltd. of comp....