Arijit Pasayat, J. - (1.) Challenge in these appeals is to the judgment of the Customs, Excise and Gold (Control) Appellate Tribunal, West Zonal Branch at Mumbai (in short the CEGAT). In the three appeals before the CEGAT the order of the Collector of Customs, Bombay was under challenge. By that order the Collector of Customs (hereafter referred to as Collector) had ordered confiscation of a consignment comprising of dust and mist respirators, one of earplugs and a mould, under clause (d) and (m) of Section 111 of the Customs Act, 1962 (in short the Act). However, the appellants were permitted to redeem the confiscated articles on payment of fine. He had ordered enhancement of the assessable value of the respirators and earplugs and imposed penalty under Section 112 of the Act on Jaynat Maru, the proprietor of appellant No.1 and Himant Tank.
(2.) Background facts in a nutshell are as follows: Relax Safety Industries, the appellant had imported in 1994, a consignment of what it described in the bill of entry that it filed for their clearance as "moulded plastic parts" and "plastic fabricated cups". The value of the consignment was declared by the importer to be of Rs.85670/-. The bill of entry that was filed for their clearance indicated that some or all the goods were subjected to some adjudication, as a result of which they were permitted to be cleared on payment of fine. This information was claimed to be available from the rubber stamp put which prima facie indicates the result of adjudication. A copy of the adjudication order claimed to have been passed was not made available to CEGAT by the appellant despite its request. The goods were cleared on payment of duty on the value declared by the importer. Subsequently, the Directorate of Revenue Intelligence investigated into the matter, seized the goods in Gujarat and issued a notice which led to the adjudication. The notice alleged that the goods were in fact respirators and earplugs, based on the statement of Jayant H. Maru, alleged gross under-valuation of goods, proposing enhancement of the value of the goods to about Rs.27.88 lakhs. Confiscation of the goods was proposed under clause (m) of Section 111 of the Act. The notice also noted that respirator is classifiable under heading 63.07 of the tariff, and not under heading 39.26 as claimed. Confiscation of the mould, which was not declared in the bill of entry under clause (m) of Section 111 of the Act, was also proposed as were penalties. After considering the replies of the parties, and hearing them, the Collector passed the order impugned in the appeals before CEGAT.
(3.) The contentions of the appellants were (a) the goods having been subjected to adjudication once before, they could not again be subjected to adjudication, and hence the second order of confiscation is not tenable, (b) subsequently, the goods have been subjected to adjudication on a third occasion, (c) alternatively the goods were found by their manufacturer in the United States of America not to conform to the local standards and hence were given away for distribution to India. They, therefore, could not be used as respirators or ear plugs. That is why they were described as plastic moulded cups. It was submitted that the Collector had ignored the certificates issued by the manufacturer as to the use of the goods. Their proposed confiscation under the import policy was questioned. CEGAT noted that the same was without any reasoning in support. It was also contended alternatively that if they are held to be prime quality goods, they are life saving equipments and did not require any import licence. Revenues representative supported order of the Collector.;