TMI Blog1997 (6) TMI 226X X X X Extracts X X X X X X X X Extracts X X X X ..... imported are not consumer goods, and freely importable and to hold Rs. 8,50,000/- penalty imposed is excessive and exorbitant and not imposable, and other deemed fit reliefs. 1. The facts of the case are the applicant has imported goods declared as Honda Kerosene Pump vide Bill of Entry No. 3118 dated 3-10-1995 and has claimed clearance under para 122 of EXIM Policy, 1992-97, as an item other than Negative List of Imports. Assessment is claimed under sub-heading No. 8413.70 of CTA read with Notification No. 49/95-Cus. and under Heading 8413.10 of CET read with Notification No. 56/95-C.E. 25% + Nil rate of duty. As per para 22 of EXIM Policy, 1992-97 goods not figuring in the Negative List of Imports can be imported freely without any lice ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case of M/s. India Machinery Corporation, Bombay Customs House has held that pumps are not consumer goods. It is negatived in the adjudicating order dated 31-5-1996, holding that it is liable for confiscation and imposing penalty of Rs. 8,50,000/- on the appellant, and ordering for payment of appropriate duty. Hence the appeal. 2. In support of the appeal, the learned Counsel for appellant has filed a memo of dates in Clause 7(11). Stress is laid on the wordings for rendering services - in the definition of capital goods. Goods Honda Kerosene Pumps comes under the Heading 8413.30 and are freely importable, and are not under restricted category, and claimed clearance as OGL under para 22 of the EXIM Policy 1992-97. It does not fall under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 26-3-1996, which is subsequent to Import in the case. Subsequent of the release of goods is not in consonance with Bombay High Court Ruling. In the course of reply arguments, it is submitted that the goods is not directly satisfying the human need like bulb. Pump has to be filled with Kerosene and connected to the pipes. It is held to be not a consumer goods by Commissioner, Mumbai. 4. Point for consideration is whether the goods imported in the case Honda Kerosene Pumps comes under OGL import under 1992-97 EXIM Policy, and it is not a consumer goods? Our finding thereon is in the affirmative. 5. We have noted the arguments of both sides and carefully considered the appeal memorandum. Impugned order and the documents relied on by both s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... elds too. Thus it is a special boon to small and marginal farmers, who cultivate vegetable, grains and other various seasonal crops. It can be carried on head and cycle and also on holders to fields and bring back home during the night. As per the I.T.C. (HS) classification of Import Items Chapter 84, Horizontal self Priming Pump comes under 841370.3-F under 84.13 pumps for liquid whether or not fitted with a measuring device, liquid elevators - free import of pumps/liquid elevators capable of being used as consumer goods is not allowed. This will be treated in the restricted category. To uphold the impugned order it is to be seen, whether the above condition is fulfilled or not. 8. As per Rule 7(12) consumer goods is defined as means an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... acceptable. The reasoning in the impugned order is not proper and correct. The Rulings referred therein make out consumer goods is not exclusively meant for domestic utility. Public utility is stressed. Even accepting that, the goods involved in the case Honda-Kerosene Pump, as described in the literature produced in the case, is more useful in the Agricultural fields, and in project sites for dewatering. Looking to the discharge capacity, weight, type, speed of the Engine, total head, suction head of the pump, it is apparent that it cannot be used for day to day public utility work. It is a machinery meant for rendering services and a power generating set, mainly used in projects and Agriculture sector. Kerosene Honda Pump cannot directly ..... X X X X Extracts X X X X X X X X Extracts X X X X
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