TaxTMI 
TaxTMI 
2006 (9) TMI 335
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....as mixture of vitamin so as to get the benefit of advance licence against which imports of vitamin mixes only and not single vitamin are allowed duty free, DR1 and SIB unit of Calcutta Custom House initiated enquiry against them and took over the above bill of entries for detail examination. They conducted searches at various places. The enquiry revealed that the appellants have entered into correspondence with the supplier in China for supply of single vitamin but describe single vitamin as vitamin mixes to enable him to clear the same duty free under advance licence. Even otherwise the mixture was supposed to contain VB1 Mono + VB1 HCL and similar other mixture of two vitamins in proportion of 99.5% and 0.5% which can hardly be described ....
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....naging Director of his company on 5-3-1998 and to the best of his knowledge the invoice showing the description of the goods as pure vitamin were genuine copies and the copies showing the description of the goods as vitamin mixture which were given to him by Pappu Jha were not genuine. Statement of Shri Pradeep Mehta, Managing Director was also recorded and on being shown the documents recorded from Shri Subhash Bedre, he confirmed that most of the documents particularly the copies of the invoice showing description of pure vitamin were handed over to Shri Bedre by him and that some of the documents are notes of Shri Subhash Bedre and the same were collected by him from CHA and the steamer agent. Investigation also revealed that the company....
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....king to confiscate the entire consignment for mis-declaration of description of the goods under Section 111(m), for confiscation of 8 MT of Vitamin B1 and BM and Vitamin B2 the import of which are restricted and required a valid import licence under Section 111(d) of the Customs Act and proposing imposition of penalty on Shri Pradeep Mehta, Managing Director and Shri Sanjay Jha, concerned person of the CHA. Show cause notice was ultimately adjudicated wherein the Commissioner allowed the clearance of restricted items on the basis of another licence produced by the appellants and he refrained from confiscating the same under Section 111(d) of the Customs Act. The balance consignment were confiscated under Section 111(m) for mis-declaration o....
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....oods have been declared in the bill of entries as per the description given in the import documents and contract thereof it could not be said that there is a mis-declaration of the importer as has been held by the Tribunal in the case of R. Maganlal & Co. v. Collector of Customs - [1990 (50) E.L.T. 580 (Tribunal)]. They also referred to similar decision in respect of Porcelain Crafts & Components Exim (P) Ltd. v. C.C., Calcutta [2001 (138) E.L.T. 471 (Tri.-Kolkata)], United Metal Industries v. C.C., Chennai - 2004 (178) E.L.T. 779 (Tribunal) = 2004 (31) R.L.T. 438 (CESTAT-Che.). In respect of single vitamin requiring import licence, it was submitted that production of import licence subsequently covering the import washes away the disabilit....
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....er does not indicate the place and the date on which the letter was faxed unlike the invoice which contains the date. This explanation is far from convincing as the supplier cannot issue two sets of invoices having identical Sr. No., date, quantity etc. for two sets of goods one describing them as single vitamin and the other as vitamin mixes just for the reason that for the purpose of getting foreign exchange, material had to be described as single vitamin. If the assessee was in possession of the advance licence for import of vitamin mixes and the goods imported by him were only vitamin mixes, the foreign exchange could not have been withheld for any reason whatsoever and therefore the covering letter has to be held as being manipulated s....