TMI Blog2003 (7) TMI 591X X X X Extracts X X X X X X X X Extracts X X X X ..... issioner has held that the goods were not entitled to the exemption and confirmed the demand for duty issued to the importer and imposed a penalty on the importer and employees in the case of Kripal Singh, Director of Dolphin. The appeals are by the importers and Kripal Singh. 2. The goods under consideration consist of components of Global Maritime Distress and Safety Systems (GMDSS) and of emergency position indicating radio beacons (EPIRBS). Each of the importer was engaged in repairs of ships. In order for it to comply with its operations under the International Convention for the Safety Life at sea to which India is a signatory, the Government of India issued in exercise of its powers under Section 290 of the Merchant Shipping Act, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ither in Bombay dock or Sahar airport and cleared under a bond before the assessing Commissioner of Customs and thereafter transported to the ship. The notice issued to the importer proceeded on the basis that the goods were not covered by any of the category of item specified in the entry to the exemption. It further alleged that the goods were not used for repair because the ships were fully functional and would not be part of repair. Notice also invoked the extended period of limitation contained in the proviso under sub-section (1) of Section 28 of the Act on the ground that the importer had wilfully misdeclared that the goods were for repair. Another ground for extended period of limitation in the case of Moloobhoy was that the stateme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... air. 4. We have to consider the significance of the 1995 Rules. These rules as we have noted provided that after 1-2-99 effect of these rules no ship of kind specified therein to put out to sea if it did not fitted with the equipment that were specified. The consequence or failure to comply with the rules would have been the certificate of seaworthiness issued to the ships under the Merchant Shipping Act, 1958 would not have been renewed and the vessel could not have been allowed to sail. 5. The Commissioner accepts that in the extract that we have quoted, that restoration of something to its original self is repair. In effect he accepts when radio equipment became defective or unusable it is put right or otherwise that would amount to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... spectively invoked the extended period of limitation. The allegation commonly against Moloobhoy is that they wilfully wrongly claimed the benefit of the notification. It is alleged further that Moloobhoy so had the invoices prepared by the foreign supplier that there was no correlation between individual consignments and the vessels of Oil and Natural Gas Corporation Ltd. where these were ultimately fitted, whole name had been mentioned in the documents. The goods were also declared as ship spares or components or as marine electrical equipment. These were done in order to confuse the department. The fact of closure of Marine Communication Electronics (India) Ltd. who was shown on the certificate issued by the Director General of Shipping ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
