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2015 (9) TMI 193 - AT - CustomsValuation of goods - Undervaluation of goods - Misdeclaration of goods - Held that:- There is no basis given in the adjudication order to suspect that the goods were of superior quality and the test reports are not supportive of this inference - there is no legal basis to base the finding on the basis of Palm Oil Refiners Association of Malaysia ( PORAM )'s product specifications particularly when the goods were of Oman origin. Further based on PORAM it was held that the goods were PFAD of superior quality. This finding directly flies in the face of the CRCL Report which categorically stated that the goods are Vegetable Fatty Acid. Further for the purpose of valuation the Adjudicating authority proceeded to compare the import data of PFAD and that too from Malaysia and Indonesia and not from Oman. In the impugned order it is clearly noted that the said import data is not valid for the purpose of valuation in terms of Rules 5 and 6 of valuation Rules 1988 and "no further data pertaining to Rule 7/ 7A was available". Therefore the determination of the value of the impugned goods contained in nine containers based on the import data of PFAD (which is not the same as vegetable fatty acid) and that too from countries other than the country of origin and under Rule 8 without giving any methodology is totally without any sustainable legal basis. It is also seen that the goods contained in nine containers were released without any bond or undertaking and therefore, in the wake non-availability of the goods, the redemption fine is not imposable. - The value of the goods in the 10th container was adopted on the basis of the Tariff Value for Crude Palm Oleic for which again there is no legal justification as the CRCL report about the contents of the 10th containers no where stated that the goods are Crude Palm Oleic. We also find that the show cause notice alleged that the declared value was U.S.$ 410 Per MT while in fact the value declared by the importers was U.S.$ 420 PMT. The Adjudicating authority has recorded that the goods were found to be odorless, off-white in colour and goods were not of Oman Origin although there is no basis whatsoever cited for recording such findings. None of the laboratory reports stated that the goods were odorless and off-white in colour . - No infirmity in impugned order - Decided in favour of assessee.
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