ABC Overseas Vs Principal Commissioner of Customs (CESTAT Delhi)
CESTAT Delhi held that rejection of declared value and re-determination of the same merely on presumptions and assumptions without independent evidence is not sustainable in law and hence liable to be set aside. Accordingly, appeal allowed.
Facts- M/s ABC Overseas is engaged in business of import and trading of goods since the year 2016 and is mainly importing LED TV and Drywall Screws. It is also engaged in the business of selling and purchasing of goods in the Indian local market.
Department got an information about appellant being engaged in evasion of Customs duty and other Government taxes by way of undervaluation in the import of goods. Based whereupon, the goods imported under Bill of Entry dated 27.01.2018 for import of unbranded 17” LED TV and unbranded 19” LED TV from foreign supplier M/s RGB Digital Technology (Thailand) Co. Ltd., were examined by SIIB on 100% basis. The goods were found to be as per the Bill of Entry, commercial invoice and packing list.
During the preliminary investigation, the department found that the contact number and e-mail id mentioned in the Country of Origin2 certificate belonged to Shri Harsh Mittal the proprietor of M/s Mittal Impex against whom already a case of mis-declaration and under-valuation was under investigation by SIIB. Hence, the value of goods recovered as were mentioned in the documents recovered in case of M/s Mittal Impex were compared with the value of the goods mentioned in the commercial invoices, sales contracts etc. submitted by the appellants with respect to Bill of Entry dated 27.01.2018. It was found that the goods imported vide the said Bill of Entry were under-valued, the goods accordingly, were seized vide Seizure Memo dated 24.04.2018.
