M/S. BALAJI STEEL ROLLING MILLS PVT. LTD. Vs. COMMISSIONER OF CUSTOMS HYDERABAD

JUDGEMENT

(1.) IN both the appeals, the issue involved is importation of Heavy Melting Steel Scrap. The appellant had imported shredded heavy melting steel scrap and had not obtained pre -shipment certificate. According to the Foreign Trade Policy during the relevant time, pre -shipment certificate was essential for import of shredded heavy melting scrap. Accordingly both the consignments were confiscated and redemption fine and penalty was imposed. The learned consultant for the appellant submitted that the appellant has to suffer huge demurrage charges because the consignment was held up for a long time. He submitted that a lenient view as regards the redemption fine and penalty may be taken since for both the consignments the appellants had suffered heavy demurrage charges.

(2.) THE learned Commissioner (AR) submits that the redemption fine and penalty imposed in both cases at roughly 15% which is reasonable. I have considered the submissions made by both sides. In both the cases, pre -shipment certificate was not produced and in the second case, the requirement of shredding has been fulfilled. Having regard to the fact that the consignment was held up and the appellant has suffered heavy demurrage charges, a lenient view is called for. Accordingly, the redemption fine and penalty imposed on the Heavy Melting Scrap in appeal No. 150/2010 is reduced to Rs. 35,000/ - from Rs. 50,000/ - and penalty is reduced to 15,000/ - from Rs. 25,000/ -. As regards the appeal No. 151/2010, the redemption fine is reduced to Rs. 1,00,000/ - from Rs. 1,50,000/ - and penalty is reduced to Rs. 50,000/ - from Rs. 75,000/ -. Except for the above reduction in fine and penalty, the impugned orders are sustained and the appeals are rejected.