Fiberhome India Private Limited Vs Principal Commissioner of Customs (CESTAT Delhi)
CESTAT Delhi held that Populated/Loaded/Printed Circuit Boards [PCB] cards are used as parts of OTN equipment and hence are classifiable under CTI 8517 70 90 and not under CTI 8517 62 90.
Facts- The appellant manufactures ‘Optical Transport Network’ equipment for supply to the Indian Telecom Operators, including BSNL. The appellant imported the Populated/Loaded/Printed Circuit Boards cards and classified the same under CTI 8517 70 10 as according to the appellant these imported PCB cards are used as parts of the OTN equipment. The appellant also imported modules, other than PCB, which the appellant claims are also used as parts of the OTN equipment and classified them under CTI 8517 70 90.
The department has classified the cards and the modules imported by the appellant as apparatus/ machine/ equipment under CTI 8517 62 90. The appellant also imported routers and classified them under CTI 8517 69 30. The department has classified the routers under CTI 8517 62 90 as apparatus/ machine/ equipment.
Conclusion- Held that in Commissioner Reliance Jio Infocomm Ltd. the Tribunal had held that Small Factor Pluggable (SFP) Modules are classifiable under CTI 8517 70 90 and not under CTI 8517 62 90 as held by the customs department. For goods to be classified as “apparatus” under CTI 8517 62 90, they must be complete machines capable of independent operation for reception, conversion, transmission, or regeneration of voice, images, or other data. This is not so in the present case.
