9911796707
TMI Blog1988 (10) TMI 202X X X X Extracts X X X X X X X X Extracts X X X X ..... rters sought for immediate transfer in bond to Delhi. When the consignment arrived in containers and destuffed in Bombay Docks, some of them were found in rusty condition and some of the drums were leaking. Hence the appellants applied for survey which was conducted on 27-2-1982 and 1/9-3-1982. The survey was conducted in the presence of Customs as per the survey report. Though the drums appeared intact, they were found partly rusted, 13 drums of TDI found leaking and 2 drums of Polyether Polyol empty and 8 leaking. On survey it was ascertained that the total shortage was TDI 216 kgs and Polyether Polyol was found short by 590 kgs. However, notwithstanding the survey showing certain damages to the consignment and 2 drums found empty, the im ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rial Corporation of Meerut v. Union of India reported in E.L.T. 1979 (J-329), they are entitled to claim remission even in respect of warehoused goods under Section 23 of the Customs Act. The Collector of Customs (Appeals) on the other hand, has held that the word used in the Section 23 is 'remit' which would mean 'to send' or 'put back'. Thus it would mean return of the duty. Section 23 provides only for return of duty already paid on goods lost or destroyed. In this case no duty had been paid. Section 13 only provides for warehoused goods and home consumption goods wherein the words used are "should not be leviable to pay duty". Shri Banerjee, the learned Advocate for the appellants attacked the aforesaid reasoning of the Collector (Appea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e especially when there is a notice of damages, is not justifiable since the goods were never out of charge of the Customs department and the importers had no authority to tamper with the goods before they were sent in transit and rewarehoused at Delhi. In such a situation, it could not be said that the loss occurred during the transit is on account of the importers. 4. The learned Sr. Departmental Representative, Shri Mondal on the other hand supported the order of the Collector of Customs (Appeals) and argued that this was a case of transfer of goods squarely covered under Section 67 of the Customs Act, from one warehouse to another situated in two different towns. In this case the importers have undertaken to transport the goods notwith ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the goods would have been put in sound containers and that is why the transporter has subsequently undertaken to transport the goods. Thus, it was argued that due care has been taken by the appellants. We are unable to appreciate the stand of the appellants on this point. The goods on arrival have been entered for warehousing. It is only the appellant who sought for waiver of physical warehousing of the goods. When they have noticed certain damages and also found the containers not in good condition they could have warehoused the goods in Bombay itself and sought for permission to deal with the goods and containers in such a manner as may be necessary to prevent further loss or deterioration or damages of the goods. The arguments of the app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stified and we see no reason to interfere with this finding. Notwithstanding the above position, it is observed that before the transport from Bombay to Delhi, a shortage of 216 kgs. TDI 80 and 590 kgs. of Polyether Polyol is reported to have been noticed in the survey conducted at Bombay in the presence of the Customs. The bond executed for transport cannot be said to have covered this quantity found short even before the transport. In fairness, the remission of duty on this quantity viz. 216 kgs. of TDI 80 and 590 kgs. of Polyether Polyol found short at Bombay itself before transport should be considered, while demanding duty in respect of the transit loss noticed. Accordingly, we dispose of this appeal by direction to the effect that the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
