1984 (7) TMI 367

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e classification of a product called "SANTI-CIZER 429" imported by the appellants (hereafter referred to as Bhor) at the port of Bombay. The Customs authorities classified the goods under Heading No. 39.01/06 of the First Schedule to the Customs Tariff Act, 1975 and charged duty at the rate of 100% (basic duty) plus 20% (auxiliary duty) plus additional (countervailing) duty at 40% corresponding to the Central Excise duty leviable under Item No. 15-A (1) of the Central Excise Tariff Schedule (CET). After clearance of the goods on payment of the duty so assessed, Bhor filed a claim for refund of excess duty on the footing that the product was assessable as a plasticizer under Heading No. 38.01/19(6) at 60% (basic) plus 15% (auxiliary) duty. ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....by Item No. 15-A of the CET and as such not liable to additional duty. It is thus against the classification of the product under Heading No. 39.01/06 that Bhor has come up in appeal before us. 3. In the transferred revision application (the appeal before us), it is urged that Heading No. 39.01/06 of the Customs Tariff Schedule, as it stood on 31-10-1977-the date of filing of the bill of entry-did not cover polymerisation products which were not synthetic resins or artificial plastics. They also relied upon an Order-in-Appeal on a similar issue in Appeal No. S/49-1034/ 78R, dated 20-8-1979 passed by the Appellate Collector of Customs, Bombay. 4. In the course of the hearing before us on 27-6-1984, Shri Deshpande the learn....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... leaflet on the product. Santicizer 429 is described as a medium-high molecular polyester plasticizer made from a glycol reacted with a dibasic acid. Among the properties claimed for the product are good low temperature flexibility, excellent electrical properties, outstanding migration resistance, humidity, stability and resistance to oil and solvent extraction. It is said to be an excellent plasticizer for making oil-resistant high temperature PVC wire and cable compounds. It is also stated to be useful for plasticizing ethyl cellulose, nitrocellulose, acrylic caulking compounds, and adhesive systems based upon polyvinyl acetate, styrene-butadiene, and acrylic latices. 7. According to Kirk-Othmer's "Encyclopaedia of Chemical Techn....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....isting primarily of partially condensed phenol alcohols. Such resins can be converted into insoluble, infusible cross-linked "C-Stage" resins. (Hawley's Condensed Chemical Dictionary). Polyisobutylene is one of several thermoplastic stereo-regular polymers of isobutene and finds its use as cable insulation, polymer modifier, an adhesive component, a base for chewing gum, a tackifier for greases, as a motor oil additive etc. (See Condensed Chemical Dictionary by Hawley, p. 829 and Plastic Materials by J. A. Brydson; p. 245). Looking at the technical data placed before us, Santicizer 429, to our mind, is not similar to resole or polyisobutylene to attract the mischief of Note 2(c) to Chapter 39 of the Customs Tariff Schedule. 9. Accor....