2007 (8) TMI 568

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....sessed based on the purchase prices and released. Subsequently, for finalization of the provisional assessments, transaction values were rejected and it was ordered that these consignments shall be assessed at a uniform assessable value of 260 US $ PMT, even though purchase prices varied from 113.50 US $ to 170 US $. The consignments were also confiscated for the offence of misdeclaration of value [(Section 111 (m) of the Customs Act)] and penalties imposed [Section 112 (a)]. 3. The reason for adopting the higher price for final assessments is that two imports of Palm Acid Oil at 260 US $ had been made in July and October 2000 by another party. Thus, the basis for the order is the price of comparable imports. 4. The contenti....

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....nt that it is well settled [2000 (122) E.L.T. 321 (S.C.) - Eicher Tractors Ltd. v. CC] that transaction values have to form the basis of assessment, except in the cases specifically mentioned in Rule 4(2) of Custom Valuation Rules. Reliance is also being placed on the judgment of the Hon'ble Supreme Court in the case of Basant Industries v. Addl. Collector of Customs, Bombay - 1996 (81) E.L.T. 195 (S.C.) in support of the contention that varying import prices is not sufficient for the purpose of rejecting transaction values. 8. Ld. SDR however, would submit that it is well settled CC, Calcutta v. South India Television (P) Ltd. 2007 (214) E.L.T. 3 (S.C.) that invoice prices are not sacrosanct and that assessments can be made based o....