TaxTMI 
TaxTMI 
2024 (6) TMI 309
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.... minimum import price for iron and steel goods classifiable under chapter 72 of ITC (HS) and as per serial No. 121 of the annexure to the said notification, the minimum import price for goods classifiable under CTH 72104900 is USD 643/MT. The Bill of Lading No. 955520430 with regard to the above bill of entry indicated that the goods under import were shipped on board the vessel on 08.02.2016. The said imports were also not covered by a letter of credit entered into before the date of issue of notification, the consignment will not fall under the category of the goods exempted from the scope of the said notification. Accordingly, the Commissioner held that the goods were liable for confiscation under Section 111(d) of the customs Act 1962 r....
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....letter of credit a lenient view needs to be taken. It is also submitted that they are an 100% EOU unit which is eligible to import raw materials duty free and also imports under advance authorization are exempted from the purview of notification 38/2015-2020 dated 05.02.2016. Hence, considering these factors the redemption fine requires to be set aside. The Counsel also submits that the notification is not issued under Section 3(2) of the FTDR Act as claimed by the Commissioner in the impugned order and therefore, it is not applicable in the present case. 3. The AR reiterating the findings of the learned Commissioner submits that since the goods are liable for confiscation the redemption fine imposed on them is justified. He also relies ....
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....re of the view that lower authority have imposed the redemption fine and penalty disproportionately. Accordingly we reduce the redemption fine and penalty" 3.2 The AR based on the above decision submits that the redemption fine imposed by the Commissioner needs to be upheld and appeal filed by the to be dismissed. 4. Heard both sides. The appellant admits to the fact that Section 3 of the FTDR Act, under which the notification 38/2015-20 is issued provides the Central Government powers Under Section 3 of the FTDR Act, to issue orders to regulate imports as well as exports. Section 3 is reproduced below: Power of Central Government to make Orders and Announce Export and Import Policy The Central Government may, by Ord....
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....s per the Annex subject to the following conditions. a) Imports under Advance Authorisation Scheme are exempted from Minimum Import Price (MIP) under this Notification: b) MIP is also exempted for all API grade steel conforming to X-52 and higher API grades for manufacturing pipes used for pipeline transportation systems in the petroleum and natural gas industries: and c) MIP conditions laid down in this Notification are valid for six months from the date of the notification or until further orders, whichever is earlier 2. Further, import s/shipments under Letter of' Credit already entered into before the date of this notification shall be exempted from the Minimum Import Price condition subject to Pa....
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....f Madras in the case of Salmag Enterprises Versus Addl. Commr. of Cus. (Adj), Tuticorin 2021 (378) E.L.T. 127 (Mad.) dated on 8-3-2021 where the Hon'ble High Court observed as follows: "10. The question that arises for my consideration is how this verification exercise ought to have been carried out in the case on hand. The petitioner's contention is that the goods are freely importable. The stand of the customs authority is that they are restricted items. The issue turns on an interpretation of the policy notification issued by the Director General of Foreign Trade. The customs authority on its own ought not to have interpreted as to whether the goods in question can be called as restricted items. The respondent ought to have soug....