AI Drafter 
TaxTMI 
TaxTMI 
2025 (7) TMI 1273
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....5 dated 16th October, 2024 as also for a direction upon the respondents to forthwith issue demurrage waiver certificate under 6(1)(l) of Handling of Cargo in Customs Area Regulation, 2009 (hereinafter referred to as 'the said Regulation'). 2. Records would reveal that the petitioner is engaged in the business of import of tyres for the vehicles used in the mining and excavation area as well as for normal road. According to the petitioner, the import of tyres is regulated by Pneumatic Tyre and Tubes for Automatic Vehicle (Quality Control Order), 2009 (hereinafter referred to as 'the Control Order') notified in exercise of powers conferred under Bureau and Indian Standard Act (hereinafter referred to as 'BIS Act'). According to the petitio....
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....ibited in nature and the same are liable to confiscation under the provisions of Section 111 of the said Act. Upon receipt of the said memorandum, the petitioner has approached this Court. 5. Mr. Mehta, learned senior advocate representing the petitioner by drawing attention of this Court to the subsequent test report and the correspondences exchanged between the department and the test laboratory, namely, Gujarat Test House would submit that it is evident that the tyres imported by the petitioner are meant for mining purposes. However, in the said test report, the laboratory has also indicated that the tyres may be used in bus and trucks. In this context, Mr. Mehta by placing reliance on a judgment delivered by the Hon'ble Supreme Court....
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....Code 40118000 (New Pneumatic Tyres of Rubber of a kind used on construction, mining or industrial handling vehicles and machines), which attracts Basic Customs Duty (BCD) at the rate of 10% and minimum IGST. However, since the impugned goods can be used in commercial vehicles i.e. bus and truck, the same ought to have been classified under HSN Code 40112010 which attracts BCD at the rate of 15%. This apart, in order to import the goods which are classified under HSN Code 40112010, the petitioner would require DGFT license/authorization which is not available with the petitioner. Further, the investigation is in an advance stage and, as such, in the event the goods are released, the vital evidence for investigation will be lost. While distin....
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....licable in this case. Although, Mr. Banerjee submits that the judgment delivered in the case of Goodyear India Ltd. (Supra) is not applicable, I find the issues involved in the present case and in the case of Goodyear India Ltd. (Supra) are not entirely different. In the said case, the question that fell for consideration was whether the tyres of a particular size for fitment to heavy moving vehicles such as dumpers and earth movers mainly are eligible to excise duty as tyres for motor vehicles. It is in that context, the Hon'ble Supreme Court in paragraphs 9 and 10 thereof while noting the provisions of the Motor Vehicles Act and the scope of the words 'motor vehicle' had recorded as under:- "9. Similarly, with the addition of the....
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....m. As rightly pointed out by Mr. Mehta that the petitioner cannot be held responsible for wrongful user of the tyres for which they are not meant, they may invite consequences but cannot be a ground to withhold the goods. Having regard thereto and taking note of the fact that the investigation is pending at the end of the respondents for a considerable period, I am of the view that the investigation should be brought to a logical conclusion as expeditiously as possible, but not later than four weeks from the date of communication of this order. Unless the respondents choose to drop the proceedings, show cause, if any, must be issued within two weeks thereof. The petitioner shall, in the event of issuance of show cause or in the alternative ....