TMI Blog2017 (10) TMI 468X X X X Extracts X X X X X X X X Extracts X X X X ..... in circumstances, outlined in Rule 3 (earlier Rule 4) of the Custom Valuation Rules. Unless the price actually paid for the transaction falls within the exceptions, customs authorities are bound to assess the duty on the transactional value. The adjudicating authority has not recorded any specific reason for disregarding the transaction value, other than the suspicion that values are mis declared as seen by comparison with various other bills of entry, as is cited in the show cause notice - rejection of the transaction value was not strictly in terms of the provisions of Customs Act read with the Customs Valuation Rules. The rejection of transaction values by the adjudicating authority on the basis of bills of entry of prime goods ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... imports and issued show cause notice dated 17.10.2014 demanding differential duty of ₹ 1,08,54,152/-. The seized goods, having enhanced value of ₹ 99,92,992/- were proposed to be confiscated. Penalties were proposed on the company as well as on Shri Vijay Gupta, the Managing Director. 2. Shri Kumar Sheel, the Customs Appraiser who had assessed the two bills of entry, was also made a noticee to the show cause notice and penalty was proposed against him. 3. The Principal Commissioner Customs (Prev) passed order dated 30.03.2016 confirming the full demand of duty along with interest, confiscating the seized goods and imposing a redemption fine of ₹ 15 lakhs. A penalty of ₹ 20 lakhs was imposed on the appellant com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e meant for sale in UAE, but have been diverted to India as parallel imports at discounted prices. iv) The Customs Appraiser Shri Kumar Sheel, in his statement has admitted that he assessed the value of the two consignments correctly after checking the NIDB data of stock lot goods, after loading the values wherever necessary. Hence further loading of the value through the impugned order is not permissible as held in the following cases: a) CC (Prev) Mumbai Vs. Paras Electronics 2009 (246) ELT 231 (Tri-Mum), b) CC Vs. Lord Shiva Overseas - 2005 (181) ELT 213, c) Shimnit Machine Tools Equipment Ltd. Vs. CC - 2006 (204) ELT 630 (Tri), d) Malhotra Impex Vs. CC - 2006 (203) ELT 561 (Tri) e) Telebran ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that various types of liquor have been imported at extremely low prices and hence these values have been rightly enhanced and differential duty demanded. 11. Heard both the sides and perused the record. 12. The goods imported vide the two bills of entry have been declared as mixed stock lot of alcoholic beverages . The declared values for various types of alcoholic beverages are admittedly lower than the prices noticed by the customs in the case of other imports. Through the impugned order, the assessable value of various items have been enhanced on the basis of various bills of entry indicated in the show cause notice. The appellant has raised various kinds of objections to such enhancement of value. The appellant has also justifie ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ally affect the value of the goods; (b) the sale or price is not subject to same condition or consideration for which a value cannot be determined in respect of the goods being valued; (c) no part of the proceeds of any subsequent resale, disposal or use of the goods by the buyer will accrue directly or indirectly to the seller, unless an appropriate adjustment can be made in accordance with the provisions of Rule 9 of these rules; and (d) the buyer and seller are not related, or where the buyer and seller are related, that transaction value is acceptable for customs purposes under the provisions of sub-rule (3). 14. In the present case, we find that the adjudicating authority has not recorded any specific reason for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of mis declaration of value. 16. The statement given by the Customs Appraiser Shri Kumar Sheel is available in record. We have perused the same and note that he had originally assessed the two bills of entry after considering the import values of alcoholic beverages imported as mix stock lot in other cases. In his original assessment order of the bills of entry the declared values have been accepted in most of the items. The value have also been loaded and enhanced in respect of a few items on the basis of comparable values of mix stock lot. Such increase have also been accepted by the importer. 17. In view of the above discussions, we come to the conclusion that rejection of transaction values by the adjudicating authority on the ba ..... X X X X Extracts X X X X X X X X Extracts X X X X
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