TaxTMI 
TaxTMI 
2018 (5) TMI 449
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....ing Bill Per Unit value US$/KG 1 3649783 dt. 19.02.2010 1) Dried Edible Shark fins 10 cms below 2) Dried Edible Shark,and Ray Fish Skin processed 85.00 27.50 2. 3649784 dt. 19.02.2010 1) Dried processed and Trimmed Edible Shark bones 60.00 The FOB value of the export goods were declared accordingly @ Rs. 2,02,79,546/- and DEPB benefit was claimed on such export amounting to Rs. 8,11,180/-. The Customs authorities suspected that the export goods were over-valued with the intention of claiming undue benefit of DEPB credit and investigated the allegation of over valuation. Local market enquiries indicated that value declared by the exporter was not correct. Samples of the export goods were drawn and sent....
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....e data or evidence to show that the goods of the same kind and quality have been exported at a lesser price. He further submitted that various edible products from shark arises out of different spices of shark and the prices are determined by seasonal demand and may vary. It was submitted further that the same appellant carried out several exports which sale proceeds have been realized in full. Such export prices are comparable to the present export for consignments. The appellant further contended before the adjudicating authority that CMFRI have indicated the local prices without referring to the specific kind and quality of the goods in comparable situation and hence such data has no relevance for export valuation. 3. The adjudicating....
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...., Mumbai 2017 (345) ELT 674 (Tri.-Mum.) 6. The Ld. DR justified the impugned order. He submitted that the goods have been over valued with the specific intention of claiming ineligible DEPB credit. 7. Heard both sides and perused the records. 8.1 After filing of the shipping bills for export of various shark products, the customs authorities suspected over valuation of the goods for claiming undue DEPB benefit. Market enquiries indicated the possibility that the transaction value declared was on the higher side. Enquiries with CMFRI were made. On the basis of the report from CMFRI, it appeared to the department that the market prices were much lower than the transaction value declared. Accordingly, the adjudicating authority has pr....
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....t with a trader and on the basis of the inputs given by CMFRI. The Principal Scientist of CMFRI has deposed in the cross examination that the prices indicated by them were on the basis of enquiries made in the local market. 8.4 We have referred to various case laws relied on by the appellant, in which a similar issue of over valuation of export gods have been considered. In the case of JayeshBhavsar (supra), the Tribunal observed as under:- "5. We have gone through the rival submissions. We find that the ld. counsel has primarily challenged the method adopted for obtaining the market value of the goods. The principle argument has been that it has not been done in their presence or in the presence of any panchas. No detail descri....
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....her value of the goods than the market price prevailing in the country and therefore, merely because higher export value is mentioned, it cannot be inferred that it is not the true sale consideration. In some cases, this hypothetical contention may be right. However this would depend upon facts and circumstances as well as evidence on record in each case. If the goods are easily available in the market, then it would be difficult to arrive at the conclusion that a foreign buyer - a prudent businessman would pay ten times more than the prevailing market price of readymade clothes, particularly, in the days where information is easily available through internet or various other sources. In any case, when margin of profit appears, on the face ....