TaxTMI 
TaxTMI 
2022 (11) TMI 514
X X X X Extracts X X X X
X X X X Extracts X X X X
....5 dated 29.03.2005 and quash the same, direct the second respondent to extend the assessment as melting scrap to the goods covered by Bills of Entry under reference No.333019, 333020 and 333157 all dated 26.06.2001. 2. The impugned order of the 1st Respondent dated 29.03.2005 reads as under: "5.Heard both sides. 6. The Ld. Advocate relied on the decision of Punjab and Haryana High Court in Patiala Castings Pvt Ltd- 2003 (156) ELT 458 (P & H) wherein the High Court held that when imported goods consist of rusted, pitted and perforated and used and repaired earlier, they cannot be considered as usable pipes. We observe that in the absence of examination report in the present case it is not possible to come to a any conclu....
X X X X Extracts X X X X
X X X X Extracts X X X X
....le under heading 7204.29. The Tribunal also held that import licence is not required when rusted and used pripes and tubes are imported as the same are melting scrap. The Ld.JDR argued that iron and steel articles can be classified under 7204 only after they are prepared as waste as stated in page 1075 & 1076 of HSN, if not, they have to be classified in their respective headings. The Tribunal in Sujama Steel has over looked this fact, he argued. The first principle of classification, he submitted, is that the goods under import should be assessed in the condition in which they are imported. The pipes in the present case have not been converted into scrap as defined in Note 6 of Section XV. We have carefully examined the rival contentions. ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....en can be called as scrap and not because they are old used and rusted. Even the definition of scrap contained in Note 6 of Section XV recognizes the fact that what is imported as scrap can be used for purposes other than melting. The words definitely not usable as such occurring in the note denotes that the articles of metals should be such that they cannot be certainly used as such. We observe that whether a metal article brought as scrap is scrap or otherwise depends on the facts of each case. In the present case, the Commissioner finds the pipe as definitely usable as such. The appellants have not produced any evidence in the form of an examination report to disprove their finding. We therefore hold that the pipes in question are classi....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... the fines and penalties imposed by the Commissioner are not excessive. We do not wish to interfere with the order of the Commissioner in this regard. 11. The appeal is accordingly rejected." 3. The case of the Petitioner is that the Petitioner has imported Heavy Melting Scrap (HMS) in the form of old rusted pipes which is classified under the heading 7204.29 of the Customs Tariff Act, 1975. The 2nd Respondent classified the imported goods under the heading 7304.29 of the Customs Tariff Act, 1975. Thus, the Petitioner suffered an adverse order in the hands of the second Respondent vide order dated 13.09.2002. Aggrieved by the said order, an Appeal was preferred before the first Respondent Tribunal. The impugned order of the Trib....