2022 (2) TMI 1179

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....ods viz. "MS Plates in various thickness and various sizes (stock lot)" under CTH 720852390 as per invoice no.20090075 dated 7.11.2009, B/L No.OOLU 3021703600 dated 7.11.2009, for invoice value of US$ 109862.50 CF, from M/s Siderius, S.A. Switzerland. The declared Assessable Value is Rs. 51,93,066/-. 2.2 The Bill of Entry was assessed on first check basis. After examination on 28.12.2009 docks submitted examination as report as follows: "Inspected lot. Opened and examined 25% after selection. Checked description and quantity. Marked weight and marked size not found. Verified goods are secondary. Verified goods are of various sizes. Examined under DC/Docks, Supervision. Mill Test Certificate (in short MTC) was not produced. Verified M.S." 2.3. The importer vide its letter dated 21.12.2009 informed that they have finalized the consignment from the supplier vide Contract No. F 026/2009 dated 14.10.2009. The vessel had arrived on 19.11.2009 and the supplier had not provided MTC resulting into heavy detention and demurrage charges and requested to assess the Bill of Entry as per Public Notice No.92/2009 dated 02.12.2009. 2.4 As per docks examination report revenue was of the view t....

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....position of redemption fine and penalty is patently perverse and should be set aside. 3.3 Arguing for the revenue, learned authorized representative while reiterating the findings recorded in the impugned order submits: * Appellant has described the impugned goods as "MS Plates in various thickness and various sizes (stock lot)". But during Personal Hearing before the Adjudicating Authority the Customs Broker of the Appellant had submitted that the impugned goods were Prime quality. * According to the Public Notice No. 92.2009 dated 02.12.2009, issued by the Commissioner of Customs (Import) the importer, in case of import of steel products, has to submit the Mill Test Certificate. The reason stated for non-submission of MTC is not a valid one. When submission of MTC is mandated, the Appellant has to comply with that condition. The real reason for non-submission could be to camouflage the actual description of the impugned goods. It is submitted that the Appellant had declared the impugned goods as "Stock lot". * There is no merit in Appellant's claim that the MS plates are not covered in Notification No.63/2008. Most of the MS plates are manufactured by Hot Rolling proce....

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.... Customs Act vests discretion in the authority to levy fine in lieu of confiscation. The MFDs were not prohibited but restricted items for import. A harmonious reading of the statutory provisions of the Foreign Trade Act and Section 125 of the Customs Act will therefore not detract from the redemption of such restricted goods imported without authorisation upon payment of the market value. There will exist a fundamental distinction between what is prohibited and what is restricted. We therefore find no error with the conclusion of the Tribunal affirmed by the High Court that the respondent was entitled to redemption of the consignment on payment of the market price at the reassessed value by the customs authorities with fine under Section 112(a) of the Customs Act, 1962." * Appeal is devoid of any merit and should be dismissed. 4.1 Have considered the impugned order along with the submissions made in appeal and during the course of arguments. 4.2 The findings recorded by the Commissioner while adjudicating the case are reproduced below: "6. I have carefully gone through the records of the case and submissions made by the importer. In view of what has been 'stated at the ....

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....are not producing MTC and such documents to verify the correctness of the declaration regarding Prime / Stock Lot/ Ex-Stock nature of consignments being imported. 2. In this regard, all the Importers/CHAs are directed to furnish inter alia, the following documents wherever consignments of H.R./ C.R. Steel including Stainless Steel Sheets/ Coils/ Plates declared to be Prime/ Stock Lot/ Ex-Stock / Prime Excess are imported: 1) Copy of Invoice 2) Copy of Packing List indicating details of Sizes, quantity, weight, thickness etc. 3) Manufacturers Mill Test Certificate certifying, Heat No., finish, Chemical Composition, Grade etc., 4) Country of Origin Certificate (Original), and 5) Bill of Lading. 3. The officers in Docks while examining such consignments are required to compare the details given in the MTC with those marked on goods / Packages. If the importer fails to submit such a MTC, the claim made by importers that goods are Prime / Stock lot / Ex-stock / Prime Excess may not be accepted and all such consignments shall be considered as Secondary / Defective / Seconds only and assessed accordingly. In case of doubt regarding the nature/grade of the goods, the goods....