TMI Blog1992 (3) TMI 82X X X X Extracts X X X X X X X X Extracts X X X X ..... 165 per M.T. in terms of Notification No. 254/CUS/76 and that the assessment made under Heading 84.10(3) at 100% plus and 20% was not proper and incorrect and hence made a claim for refund of the excess amount collected therefore. The Assistant Collector by his proceedings rejected the refund claim made by the petitioners holding that it is seen from the samples of imported semi-finished adjusting pin that it had assumed the special characteristics of the finished component. Hence the original assessment is in order. The Assistant Collector of Customs (Refunds) made a similar identical order in respect of all the five claims. Aggrieved by the said orders, the petitioners preferred an appeal before the Appellate Collector of Customs. The Appellate Collector of Customs, by orders in C.3/570-78 dated 14-12-1978; C.3/569/78 dated 14-12-1978; C.3/2704/77 dated 3-3-1978; C.3/757/78 dated 14-12-1978 and C.3/611/78 dated 14-12-1978 rejected the appeals observing as follows :- "It is seen from the drawing and other documents produced that the adjusting pin through semi-finished had the essential character of the finished article. These goods are correctly classifiable under heading 84.10( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d as adjusting pins/camplates and that the goods would necessarily fall under Heading 84.10(3) as part of goods specified therein in view of Note 2 to Section XVI of the First Schedule to the Customs Tariff Act, 1975. In these circumstances, the Petitioners have filed the above writ petitions for issue of a writ of certiorarified mandamus to quash the aforesaid orders of the authorities and to direct the respondents to refund all the sums of money claimed by them by their claim applications. 3. Learned Counsel appearing on behalf of the petitioners contended that the petitioners imported semi-finished crude steel forgings of camplates for distributor pumps and crude steel forgings of adjusting pins for the use in governor assembly and that the crude materials have no direct use in any assembly in their imported state and condition and have, therefore, necessarily to be subjected to major processes like turning, grinding, broaching, groove cutting, heat treatment, surface treatment, lapping, drilling of holes to specifications and polishing etc. to suit the precise intended specifications and these processes would involve handling of the imported material in their crude form with ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... able under the Heading 84.10(3) C.T.A. as per Interpretation Rule 2(a) of Customs Tariff Act, 1975. It was also contended that Rule 2(a) of the Rules of Interpretation is so wider that even an incomplete or unfinished articles have to be classified as a complete or finished article. It was further contended that the relevant part numbers were given in the invoices covering the goods would show that the goods were made according to certain given dimensions and drawing of finished components and that the goods were identifiable as such. 6. Considering the aforesaid rival contentions of the parties in these writ petitions, it must be stated that it is not in dispute that the petitioners have imported semi finished products, camplates and adjusting pins. It is also (not) in dispute that the petitioners have not imported the finished products. The question that has to be considered is whether the goods imported, which are the subject matter of these writ petitions, were to be considered as semi-finished product under the Heading 73.33 (40) read with Notification 254/CUS/76 dated 2-8-1987 or under the Heading 84.10(3) C.T.A. It is the specific case of the petitioners that the goods in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is not the case of the respondents that where the imported materials could be possibly be used in that imported condition as a part of component in any machinery. From this, it may be considered that the goods imported are semi-finished goods. The only aspect that has to be considered is, whether as a result of the observation of the authorities below, the goods imported have the characteristic of the finished product and would fall under Item 84.10(3) C.T.A. by application of Rule 2(a) of the Rules of Interpretation. If the rules of interpretation as such are to be construed that would cover incomplete and unfinished products, provided the incomplete and unfinished article has the essential character of the complete or finished article. The essential characters of the complete and finished article have not been defined. There is no guideline on which the imported goods can be considered as to whether the goods imported have the essential character of a complete and unfinished article. In the instant case, the revisional authority had observed that the goods were already cleared by the petitioners and that the revisional authority had not accepted the sample article produced for t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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