2018 (10) TMI 111

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....ration with attendant duty of 7.1% + 10% + 18%, the liability of Rs. 4,31,244/- was discharged. The goods, upon being taken up for second check, were subjected to PMI test and held to be other than scrap leading to allegation that it should be classified under heading 7219 9090 of the First Schedule to the Central Excise Tariff Act, 1975 and liable to anti-dumping duty as per serial no. 17 in notification no. 52/2017-Cus (ADD) dated 24th October 2017; the value was re-assessed as Rs. 24,94,437/- and, for failure to comply with compulsory registration scheme/mandatory BIS certification prescribed under IS 6911 for stainless steel sheets grade 304, was also held liable to confiscation, but permitted to be redeemed on payment of fine of Rs. 3,....

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....90 of the First Schedule to the Customs Tariff Act,1975. According to him, the absence of a 'mill test certificate' which had not been supplied by the importer could not, by itself, deny the benefit of exemption at serial no. 376 in notification no. 15/2017-Cus dated 30th June 2017. 4. Learned Authorised Representative urges the upholding of the order of the first appellate authority. 5. In the impugned order, we notice a categorical finding by the first appellate authority on the classification. The appellant had imported the goods that were declared as scrap but, upon examination was held to be prime goods other than scrap. The consequence of different rate of duty, enhancement of value, levy of anti-dumping duty and detriment for n....

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....dity for adoption of the alternative classification. In the normal course, a change in classification must be preceded by a show cause notice indicating the grounds on which the revision is proposed. Even if the waiver of notice was by consent, the obligation on the part of the assessing officer to render a rationale and comprehensive finding for the alternative classification cannot be alienated. We find that such an exercise has not been carried out. In the absence of a re-classification, the detrimental consequences will not arise. Needless to say, a fresh classification should be categorical and not indecisively hovering between 'prime' and 'secondary' merely because the 'mill test certificate' was not produced. The original authority h....