TaxTMI 
TaxTMI 
2011 (3) TMI 1417
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....ondent. [Order per : Adarsh Kumar Goel, J.]. - This petition seeks quashing of seizure of goods of the petitioner and a consequential direction to permit clearance of goods kept at the Container Freight Station, Ludhiana. 2. Case of the petitioner is that it imported scrap under the Open General Licence Scheme in February, 2011 and filed Bills of Entry declaring the goods to be Heavy Melt....
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....f the Customs Act, 1962 (for short, "the Customs Act"). If the goods could be put to more than one use, the same could be mutilated, to accept the stand of the importer that the goods were scrap. The stand of the petitioner that the goods are scrap, is also supported by Chapter Note 8 of Section XV of the Customs Tariff Act. 3. In response to the notice, a reply has been filed on behalf of t....
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....ubmits that the goods are scrap and even if the respondents are of the view that they are used machinery, the same does not deviate from the fact that the goods are scrap. At best, it is a case of mutilation to which the petitioner had no objection. The seizure is illegal and even if there is power to effect the seizure, exercise of such power should be for valid reasons and not arbitrary. Fairnes....
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....proposed to be issued under Section 24 and pending consideration, though there is no objection to order of provisional release being passed under Section 110A of the Act, such an order could be passed only after an application was moved and not otherwise. 7. We have considered the rival submissions. 8. While the issue of calculation of duty or any further action in accordance with law ....