TMI Blog2010 (2) TMI 442X X X X Extracts X X X X X X X X Extracts X X X X ..... nder section 111(d) sustainable as hazardous plastic scrap import prohibited. HMS not prohibited and not liable for confiscation. Redemption fine of Rs. 50,000 appropriate. Plastic scrap not deliberately imported and penalty reduced to Rs. 50,000. - C/138/2009 - A/139/2010-WZB/C-IV/(SMB) - Dated:- 23-2-2010 - Shri P.G. Chacko, Member (J) Shri Ravinder Jain, Consultant, for the Appellant. Shri H.B. Negi, SDR, for the Respondent. [Order]. - The appellant had filed a Bill of Entry on 22-9-2008 for clearance of 145.65 MTs of what was declared to be 'Heavy Melting Scrap' (HMS for short) and valued at USD 400 per MT. The consignment was imported from Kuwait, from where the goods were shipped in 8 containers. The containers wer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ndling) Rules, 1989. Option for redemption on payment of a fine of Rs. 5.00 lakhs was given under Section 125 of the Customs Act. The Commissioner also ordered segregation of the plastic waste from HMS and its re-export within 30 days. HMS weighing 140.34 MTs was allowed to be cleared for home consumption on payment of fine and penalty. Further, a penalty of Rs. 2.00 lakhs was imposed on the importer under Section 112(a) of the Customs Act. 3. The present appeal of the importer is against the above decision of the Commissioner. 4. The learned Consultant for the appellant submits that the entire consignment consisting of 140.34 MTs of HMS and 310.5 kg of hazardous waste ought not to have been confiscated on the ground that the negligible ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the above negligible quantity of plastic scrap was concealed under 140.34 MTs of HMS. Had it been so concealed, there would not have been any room for 'segregation'. The Commissioner has ordered for 'segregation' before re-export. This expression would imply that the plastic scrap and the HMS were not easily separable and the two were in admixture with each other. In this factual situation, there can be no allegation against the appellant that they concealed the plastic scrap under 140.34 MTs of HMS. The learned Commissioner has invoked Section 119 of the Customs Act for confiscation of the goods. This provision provides for confiscation of any goods used for concealing smuggled goods. Neither of the materials has been held by the Com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... this material as "worthless waste", as this material has no value. This aspect, however, would not entitle the appellant to claim that the redemption fine should be set aside. The hazardous waste requires to be re-exported, as per the Commissioner's order, and the appellant has done so. The material could not have been re-exported without redemption against payment of fine under Section 125 of the Customs Act. In my considered view, in the absence of valuation of the material, a nominal fine is liable to be determined under Section 125 of the Act in respect of the plastic scrap. I determine this amount to be Rs. 50,000/- (Rupees Fifty thousand only). 7. There is a penalty of Rs. 2.00 lakhs on the importer under Section 112(a) of the Cust ..... X X X X Extracts X X X X X X X X Extracts X X X X
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