2000 (8) TMI 181 - AT - Customs

Summary

Issues:
- Discrepancies in consignments declared as finished leather for export
- Denial of cross-examination of CLRI officers
- Reliance on CLRI technical opinion by Commissioner
- Violation of principles of natural justice

Analysis:
1. The appeals involved discrepancies in consignments declared as finished leather for export, as certain deficiencies were pointed out by the CLRI, Govt. of India Laboratory. The Commissioner, relying on CLRI as an Apex body in leather technology, held the consignments to be an attempt to export prohibited goods, disregarding exporters' requests for cross-examination of CLRI officers.

2. The appellants vehemently contested the denial of cross-examination, highlighting that the consignments were not exported due to the deficiencies found. They sought setting aside of redemption fine and penalties, citing substantial losses incurred. Reference was made to a previous order supporting their stance.

3. The learned DR supported the Commissioner's decision, emphasizing the technical and academic nature of CLRI's opinion and the lack of necessity for cross-examination. The reliance on CLRI's technical opinion was defended, and the Commissioner's orders were upheld.

4. The Tribunal noted the importance of technological and scientific parameters in determining the stage of transformation of hide into leather. It emphasized that expert opinions cannot be relied upon without proper testing and cross-examination. The denial of cross-examination violated principles of natural justice, leading to the decision to set aside the order and remand the matter for de novo adjudication, directing the Commissioner to allow cross-examination of CLRI authorities.

5. Consequently, the impugned order was set aside, and the matter was remanded for fresh consideration, ensuring the right to cross-examination and adherence to principles of natural justice. The decision aimed to uphold fairness and proper legal procedures in the adjudication process.