Nano Hospitals Pvt Ltd Vs Principal Commissioner of Customs (CESTAT Hyderabad)
The case of Nano Hospitals Pvt Ltd vs Principal Commissioner of Customs, adjudicated by CESTAT Hyderabad, centers on the importation of second-hand medical devices. The appellant, a multi-specialty hospital, sought clearance for various medical equipment. However, customs authorities deemed these imports as hazardous waste, leading to a legal battle.
The crux of the dispute lies in the classification of the imported medical devices. Customs authorities argued that the items fell under Basel No. B1110 of Schedule VI of the Hazardous and Other Waste Management Rules, 2016, making them ineligible for importation. Consequently, the authorities ordered confiscation and re-export of the goods, imposing penalties on the appellant.
However, the appellant contended that the imported devices, certified by a Chartered Engineer, had a residual life of 5 years or more, rendering them non-hazardous waste. They argued that the goods were intended for use in their hospital and not for trade, further emphasizing their good working condition and declared value.
During the legal proceedings, the appellant raised procedural irregularities, highlighting the absence of a Show Cause Notice (SCN) as mandated by the Customs Act. They argued that this lack of due process invalidated the adjudication order.
