TaxTMI 
TaxTMI 
2015 (10) TMI 2188
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....ords, the respondents, M/s Arani Agro Oil Industries Ltd. have imported 1492.308 Mt. of Crude Palmolein (edible grade) vide WBE No. 273, dated 16.09.2003 declaring the goods under sub-heading No. 15119090 of Customs Tariff Act 75 chargeable to BCD 70% and as per shore ullage, the quantity was 1488.308 Mt. 3. The samples were drawn in presence of the importer by both the Port Health Officer (PHO) as also the Customs officers and goods were assessed provisionally. Vide report dated 18.9.2003, the PHO confirmed the samples as having excess acid value and adulterated. The PHO further informed that the acid value was 9.83 and a sample was also forwarded to the Central Food Laboratory (CFL), Calcutta for further analyses and the Director of C....
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....ied the goods in question with disregard to the Chapter notes of Ch. 15 of CTA 75; (ii) reports of both the PHO and CFL merely found to harp on the Acid Value without evidencing other parameters as provided in Item 17.20 of Appendix B of PFA Rules 1955; (iii) the reliance place by the adjudicating authority on two different reports of PHO and Chemical examiner amounts to selective reliance; (iv) the adjudicating authority has not given due consideration to Notification No. 40/2001-Cus dated 13.7.2001 and (v) the proviso to Section 2(m) of the PFA Act 1954 should have been given due consideration. Accordingly, he allowed the appeal by setting aside the order of adjudication. 6. Being aggrieved with the said order of the Commissioner (Appe....
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.... prescribed range of 500 to 2500 mg/Kg, in terms of Notification No. 120/2003-Cus, dt. 01.08.2003 which fact was re-iterated in the Circular No. 85/2003-Cus, dt. 24.09.2003. (c) Therefore, the standards prescribed vide a Notification under Customs Act 1962 are equally applicable to the relevant chapters of Customs Tariff Act '75 by virtue of the Sections 2, 3, 4 & 13 of the Customs Tariff Act 1975 since the said sections made the Tariff Act applicable in tandem with the relevant provisions of the Customs Act 1962 and in fact the concessional rate applicable to goods under import are made effective by the Notification under Sec. 25 of Customs Act 1962. (d) Thus, the classification of goods by the Assistant Commissioner ....
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.... to reason in terms of the supplementary note to the Chapter 15 read with PFA Rules, 1955. As such, the evidence provided by them is proper and relevant to the instant proceedings. 3. The PFA Act 1954 and rules made thereunder prescribed standards as to Adulteration or otherwise of the item A 17.20 under Food as per of Appendix B and the same is determined in the reports of both the PHO & the CFL. However, the standard of Carotenoid Concentration prescribed by the Govt. of India, under the Customs Act 1962 is not available in the said reports and hence, it has to be determined by the relevant authority i.e., the Chemical examiner of the Customs Laboratory and accordingly, the standard was determined by the Chemical Examiner. Thus, ....
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.... after refining, since the same is not contemplated under Customs Act 1962. 5. The standards at A 17.15 of PFA Rules 1954 are applicable for the goods of edible grade and issued for human consumption after refining, in which case also the acid value shall not be more than 0.5 after refining. Thus, the post importation conditions are not relevant to the goods which do not conform to the standards laid down under Appendix B of PFA Rules 1955 and as also the Customs Act 62. Hence for extension of concessional rate of duty under Notification No. 21/2002-Cus, dt. 01.03.2002 the goods shall be of edible grade with Acid value within the prescribed standard and conforming to the prescribed range of Carotenoid concentration. 6. The....