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TMI Blog2012 (8) TMI 56X X X X Extracts X X X X X X X X Extracts X X X X ..... rate of Revenue Intelligence that they are misdeclaring their products under importation, namely, copper/brass ingots as copper/brass dross. Therefore a watch was kept on their transactions. It was noticed that the appellant had filed two bills of entry bearing nos. 842292 dated 06.5.03 and 842280 dated 6.5.03 for clearance of the goods declared as brass dross and seven bills of entry bearing no. 841799, 841800, 841801, 841802, 842288, 842289 all dated 6.5.2003 and 842806 dated 7.5.03 for clearance of goods declared as copper dross classifying the products under heading no. 26203010 in respect of brass dross and heading no. 26203090 in respect of copper dross of the First schedule of the Customs Tariff Act, 1975. In the bills of entry they ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or refining process. As the goods under importation could not be classified as copper/brass dross a show-cause notice dated 16.3.2004 was issued proposing to classify them under heading 74020090 and heading 74032100 of the Customs Tariff. It was also proposed to reject the declared assessable value and enhance the same to Rs.1,75,54,732/-. The show-cause notice proposed to assess the goods to duty amounting to Rs.89,17,804/- and after adjusting the amount of Rs.20,99,607/- paid at the time of provisional assessment, the differential duty amounting to Rs.68,18,197/- was demanded. There was also a proposal in the notice for confiscation of goods under Section 111(l) and 111(m) of the Customs Act, 1962 and imposition of penalty on the appellan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ss examination on 12.1.10, the counsel for the appellant could not be present as he had to appear before the Hon'ble High Court of Kerala in some case. Thereafter, the adjudication order was passed on 22.2.10 and therefore, there is violation of principles of natural justice inasmuch as they had been denied an opportunity to make their case. The ld. counsel further submits that the value has been enhanced on the basis of LME price for copper ingots and this is totally incorrect. He further submits that their company has been incurring losses consistently and only for the year 31.3.2011 they made a profit of Rs.11 lakhs for the first time and their cumulative losses amounts to more than Rs.7 crore. Therefore they will face undue financial ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oduct and the same is much higher than those declared in the import documents. Thus misdeclaration on the part of the importer is quite evident from the records of the case. Once there is a misdeclaration as to the nature of the goods, the transaction value declared cannot be accepted and the same is liable for rejection. The value of the imported product would naturally depend on the copper content, higher the copper content, higher the price, and therefore, in the instant case the value declared by the appellant cannot be accepted at all. However, since the appellant could not attend the personal hearing when they were fixed, there is a violation of the principles of natural justice and therefore, the matter has to go back to the adjudica ..... X X X X Extracts X X X X X X X X Extracts X X X X
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