{"id":147486,"date":"1986-03-18T00:00:00","date_gmt":"1986-03-17T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/madras-pack-marine-vs-collector-of-customs-on-18-march-1986"},"modified":"2018-04-19T19:38:11","modified_gmt":"2018-04-19T14:08:11","slug":"madras-pack-marine-vs-collector-of-customs-on-18-march-1986","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/madras-pack-marine-vs-collector-of-customs-on-18-march-1986","title":{"rendered":"Madras Pack Marine vs Collector Of Customs on 18 March, 1986"},"content":{"rendered":"<div class=\"docsource_main\">Customs, Excise and Gold Tribunal &#8211; Tamil Nadu<\/div>\n<div class=\"doc_title\">Madras Pack Marine vs Collector Of Customs on 18 March, 1986<\/div>\n<div class=\"doc_citations\">Equivalent citations: 1987 (13) ECR 419 Tri Chennai, 1986 (25) ELT 382 Tri Chennai<\/div>\n<\/p>\n<pre><\/pre>\n<p>ORDER<\/p>\n<p> K. Prakash Anand, Member (T) <\/p>\n<p>1.  This is an application filed against the order of the Collector of Customs, Cochin No. S.30\/139\/84 Ap. dated 13.2.85.\n<\/p>\n<p>2.      The   appellants   have   imported   36   Nos.   Evihrude   Outboard   motors declared   to   be   of  10  H.P.  The   department  held  that   the   imported  motors were  designed to  work  over 10 H.P. and as such not covered by the import licence   which   is   valid   for   import   of  motors  of  upto   10  H.P.  Accordingly, the Collector of Customs, Cochin confiscated the goods, imposed a redemption fine of Rs. 1 lakh and imposed personal penalty of Rs. 25,000\/-\n<\/p>\n<p>3.     Shri   P.N.   Menon,   the  learned  consultant  for  the  appellants  points out   that   there   has   been   incorrect   appreciation   of   evidence   which   is   on record;   the   importer   had   instructed   the   suppliers  that   the   motors  should be  of  10 H.P. It  is  stated that the Department has not been able to establish   the   excess   horse   power   of   motors   in   question.  It   is  stated  that   the Collector   of   Customs   has   relied   on   operating   manuals   which   only   show that   the   basic   features   are   common   for   machines   of   both   10   H.P.   and 11   H.P.   The   learned   consultant   has   cited   the   decision   of   the   Tribunal in   the   case   of   &#8216;Jairam   and   Sons   v.   Collector   of   Customs,   Cochin, reported  in 1983 ECR 1788D and claims that in that caae  since the specifications of oil had not been tested by the Department before clearance, it was decided that the benefit of doubt must go to the appellants. Shri Menon has also stated that two motors, out of the consignment imported, are still in the possession Of Customs and they should be asked to have them tested even now for the present rating. He states that the appellants would be prepared to accept the result of the test. Finally, the learned consultant states that the goods imported were not banned items and even if it is held that they are of 11 H.P. rating, the fine and penalty imposed are unwarranted and excessive.\n<\/p>\n<p>4.      Shri   K.K.   Bhatia,   the   learned   S.D.R.   has   reiterated   the   facts and   the   views   as   contained   in   the   order   appealed   against.   In   particular he   points   out   that   the   catalogue   pertaining   to   the   products   imported   is for   11   H.P.   motors;   besides   as   a   result   of   investigation   conducted,   the Department   was   able   to   seize   a   copy   of   message   sent   by   the   importers to   the   suppliers   to   re-calibrate   the   motors   to   10 H.P.  Shri   Bhatia   firmly opposes   the   request   that   the   remaining   two   motors,   presently   with   the Customs Department,  should be  subjected  to  a test  as regards horse  power rating   and   points   out   that   the   Department&#8217;s   case   does   not   rest   on   the existing   rating   of   the   motors   imported.   He   states   that   the   investigation itself   indicated   that   the   motors   imported   are   of   11   H.P.   rating.   Though they   might  have   been  recalibrated to  10 H.P. rating,  they  can,  by  a small variation,   be   upgraded   to   total   11   H.P.   rating   for   which   the   motors  are designed.  The  fact  that the motors are basically of 11  H.P. rating is established   by   the   Technical   Literature   relating   to   the   items   imported   which is   a   final   proof   regarding   the   rating   of   the   goods,   not   disputed   by   the appellants themselves.\n<\/p>\n<p>5.          We     have  carefully considered the facts of the case and the submissions made  before  us. The  appellants&#8217;  case  rests only  on the  fact  that the  performance  rating of the  impugned goods is 10 H.P. The Department&#8217;s case   is   that   the   goods   are   actually   designed   for   11   H.P.   rating.   It   is  on the   basis   of   their   claim   that   the   performance   rating   is   10  H.P.  that  the appellants have  requested that the two motors in the possession of Customs Department  should  be   subjected  to  a  test.  On  the  other hand,  it  has been argued   convincingly   by   the   Department   that we   have   to   go   by   what   the product   is   and   the   catalogue   furnished   by   the   appellants   themselves   is final   and   conclusive  evidence   in  this  respect.  This  catalogue,  not   disputed by  the  appellants themselves shows that the products imported are designed for   11   H.P.   rating.  The   fact  that  they   are   being recalibrated to  10 H.P. rating  which,  subsequently,  at  the will of the importer, can again be stepped up to  11   H.P. rating,  does not  affect  the  identity  of the  goods as designed   for   over   10   H.P.   rating.   Since   these   facts   remain   unrebutted   by the   appellants,   there   is   no   escape   but   to   uphold   the   view   taken   by   the Department.\n<\/p>\n<p>6.    We have  seen the case law cited by the appellants namely,CEGAT&#8217;s decision   in   the   case   of   &#8216;Jairam   and   Sons   v.   Collector   of   Customs, Cochin&#8217;  (1983  ECR  1788D). In this case, the Tribunal held that the Department   having   failed   to   carry   out   the   test  of  the  samples  of  the   imported goods   viz.   diesel   oil,   should   not   have   ignored   the   supplier&#8217;s   certificate to  establish  the   character  of  the   oil  and  the  benefit of doubt  should have been   given   to   the   appellant.   We   are   of   the   view   that   the   facts  of  the case   cited   are   quite   different   and   the   ratio   of  the  decision  is  not  applicable  to  this case. Whereas in the  case  of  &#8216;Jairam  and Sons&#8217;, the specifications of oil were not available as the Department had allowed clearance without a test and the Tribunal therefore held that the benefit of doubt should be given to the appellant on the basis of the certificate of suppliers furnished by the importers in this particular case, there seems to be hardly any doubt or dispute as regards the identity of the goods or even the specifications. The catalogue pertaining to the goods imported is available and not disputed. It clearly shows that the goods are designed for 11 H.P. rating. The appellant&#8217;s claim that these goods have been recalibrated for 10 H.P. performance. We do not feel that this affects the essential identity of the goods which are designed for 11 H.P. rating. In the view that we are taking, therefore, there is no case for remanding the matter back for decision on the basis of a test of the motors still in the custody of the Department. This request is rejected.\n<\/p>\n<p>7.      We   have   also   carefully   considered   the   submission   that   the   fine and  penalty   are  excessive.  We   fined  that  the   appellants  were  well  aware of   the   fact   that   the   goods   imported   were   designed   for   11   H.P. rating. They   had   instructed  the  suppliers  to  recalibrate  the  goods but  they  concealed the  fact   from  the  Department.  This is an evidence of their mala-fides. Confiscation of the goods as well as imposition of penalty are therefore, justified and we do not think that the quantum is excessive.\n<\/p>\n<p>8.   The appeal is accordingly dismissed.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Customs, Excise and Gold Tribunal &#8211; Tamil Nadu Madras Pack Marine vs Collector Of Customs on 18 March, 1986 Equivalent citations: 1987 (13) ECR 419 Tri Chennai, 1986 (25) ELT 382 Tri Chennai ORDER K. Prakash Anand, Member (T) 1. This is an application filed against the order of the Collector of Customs, Cochin No. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-147486","post","type-post","status-publish","format-standard","hentry","category-judgements"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Madras Pack Marine vs Collector Of Customs on 18 March, 1986 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/madras-pack-marine-vs-collector-of-customs-on-18-march-1986\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Madras Pack Marine vs Collector Of Customs on 18 March, 1986 - Free Judgements of Supreme Court &amp; 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