- (1.) The petitioner is a Company duly registered under the Companies Act,1956 and is engaged in the manufacture of petroleum products. The petitioner imported Heavy Cut Oil in five containers through a bill of lading. On arrival, the goods were detained on 21.12.2011, on a specific intelligence report being received by the Customs Department on the ground that the petitioner has mis-declared the description of the goods in the bill of lading. Samples of the product were taken and were sent for testing to the Central Revenues Control Laboratory (CRCL), Central Board of Excise and Customs, Department of Revenue, Ministry of Finance, Government of India, New Delhi. A report was submitted on 10.02.2012 indicating that the goods that were imported by the petitioner was a "waste Oil" and was covered by the Hazardous Waste Management Rules ,2008 (hereinafter referred to as the Rules of 2008). Based on this report, the Customs authority confiscated the goods on 27.02.2012 under Section 111(d) and 111(m) of the Customs Act, 1962 (hereinafter referred to as the Act) and seized the goods under Section 110 of the Act. A show cause notice dated 12.06.2012 followed the said seizure directing the petitioner to show cause as to why the goods should not be confiscated and penalty should not be imposed under Section 112(a) of the Act. The petitioner submitted a reply giving detailed evidence to show that the goods imported was not a "Waste Oil" but "Heavy Cut Oil".
(2.) It transpires that the Customs Department sought clarification from the Ministry of Environment & Forest, Government of India, New Delhi with regard to the product in question. The Ministry of Environment & Forest issued a clarification dated 31.08.2012 indicating that the goods imported by the petitioner was not "Waste Oil".
(3.) The competent authority, namely, the Additional Commissioner, Customs, Excise & Service Tax, Ghaziabad after considering all aspects of the matter and, after considering the report of Ministry of Environment and Forest, issued an order dated 03.01.2014 holding that the consignment imported by the petitioner under the bill of entry dated 23.11.2011 was not a "Waste Oil" and, accordingly, directed the consignment to be released at appropriate value at the time of import of the said goods and, accordingly, dropped the show cause notice.;