TMI Blog2000 (7) TMI 316X X X X Extracts X X X X X X X X Extracts X X X X ..... MT to US $ 1800 PMT. 2. The appellant filed Bills of Entry Nos. 1230 and 1285, dated 3-12-1999 for clearance of cloves of ZANZIBAR origin declaring CIF value as US $ 750 PMT. The supplies have been made by the supplier allegedly under contract No. 54136 dated 13-7-1998, which was entered into between importer and the supplier. 3. It would appear from the reading of the impugned order that the prices of cloves have substantially increased after May 199 (sic). The inquiry was made in relation to these bills of entry which are itemized in the order portion of the impugned order. The contention of the importer before the adjudicating authority was inter alia that the goods should be valued as per the transaction value only and it could not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the determination of the liability on the part of the importer to pay the import duty and other charges as per law. The determination portion as well as quantification is a very important function he further argues. The impugned order, stresses the Sr. Counsel s is vitiated by law the reliance on the Judgment of the Supreme Court in the case of Rajkumar Knitting Mills (P) Ltd. v. Collector of Customs, Bombay - 1998 (98) E.L.T. 292 (S.C.) is wrong inasmuch as the facts in that case have to be viewed with the facts in this case as the facts in both cases are different. He further stresses the point in that case the decision was under erstwhile section 14 of the Customs Act, 1962. In 1988 the said section has undergone a sea change. Therefo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m House, Mumbai. In B/E No. 29839 dated 11-12-99, Cloves of Sri Lankan origin have been assessed @ US $ 5,450 PMT in Chennai Custom House. In view of these Bs/E, I hold that the prevalent price of Cloves of Indonesian and Zanzibar origin is around US $ 1800 PMT. The CIF price of Madagaskar Cloves in The Public Ledger dated 22-11-99 is quoted at US $ 3500 PMT which shows that the prevailing International price of cloves is much higher than the declared value in these Bills of Entry. The contract price in this case is not acceptable due to the fact that the imports are against expired contract and contract is not backed by a Letter of Credit and hence price of such contract cannot be taken as import price when the international price of Clo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y a Letter of Credit. The prices quoted in the The Public Ledger dated 22-11-99 for cloves of Madagaskar origin are US $ 3500 PMT. The Cloves of Sri Lankan origin have been assessed @ US $ 4450 PMT by Chennai Custom House. However, New Custom House, Mumbai assessed cloves of Indonesian origin vide Bill of Entry No. 3137 dated 8-7-99 @ US $ 1800 PMT. There is no final assessment of cloves at the rate below US $ 1800 PMT in Mumbai Customs House in past 3 months. I, therefore order the cloves imported by M/s. Radhey Shyam Ratan Lal be assessed @ US $ 1800 PMT by taking the lowest rate accepted by Mumbai Customs House . In the above portion we find there is no whisper as to whether any notice has been given to the importer nor there is an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e waives the show cause notice it should be examined whether such a waiver should be applicable to the facts of the case in terms of section 124 of the Customs Act. If the importer replies to the show cause notice, then he must be heard in person by the authority and thereafter decide the case by determining the correct valuation as well as determination of the duty and other charges as per law. Such valuation and determination of duty and charges should not be delegated to any other authority as has been the case in the impugned order. The assessment proceedings are quasi-judicial proceedings it cannot be delegated to any other authority including classification and finalisation of the assessment. The impugned order is set aside and the ad ..... X X X X Extracts X X X X X X X X Extracts X X X X
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