2001 (2) TMI 241

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....e CIF price of the consignments of Diodes was declared as Hong Kong $ 29406.00. The goods were allowed to be cleared by the Customs Officials under P.D. Bonds, after examination. 2.Subsequently, a show cause notice was issued on 20-4-1998 alleging under-valuation of the goods based upon the export declaration furnished by the supplier at Hong Kong, which reflected higher value of the goods. Accordingly, the notice proposed to reject the transaction value under Rule 4 of the Customs Valuation Rules, 1988 and by enhancing the value of the goods, proposed to confirm the demand of duty of Rs. 28,04,831.40. The said show-cause notice culminated into the impugned order confirming demand of duty as proposed in the notice and imposing personal p....

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....r. Therefore, Shri Chattopadhyay, ld. Consultant has drawn our attention that the export declaration of the two Hong Kong suppliers differ to the extent of 22%, thus supporting their stand that it is not the actual price at which the goods have been sold to them but the higher price declared to their Government for earning the export benefit. He submits that the Commissioner has accepted the above factual position but has still proceeded to enhance the assessable value on the basis of the said declaration. 5.Shri Chattopadhyay further submits that in addition, they filed details of contemporaneous price at which identical goods were imported by other importers in India. Such prices were at par with the price at which they purchased the g....

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....his was so held by the Tribunal in the case of Indian Optics Pvt. Ltd. v. Commissioner of Customs, New Delhi reported in 2000 (123) E.L.T. 1022 (Tri.) = 2000 (39) RLT 381 (CEGAT). 8.Apart from the above, we also find force in the appellants' submissions that the adjudicating authority in spite of accepting the appellants' stand that there is a possibility of the export declaration price being on the higher side, has still adopted the same, thus making the order self-contradictory. In this regard, we would like to reproduce the observations made by the Commissioner in his impugned order :- At the same time it is also quite possible that export"38. declaration prices may not always reflect the price actually paid or payable by the India....