KARACHI: Collector of Customs Appeals Shafique Ahmad Latki set aside Order-in-Original No 762507-19102017 issued by Assistant Collector Adjudication, Customs House, Karachi against M/S SSJ Brothers (SMS-PVT) Limited.
Briefly, facts of the case as stated in the impugned order are that the appellant electronically filed Goods Declaration No. KAPE-HC-59381- 28-09-2017 and declared to contain 15184 kgs of Textile Grey Fabric at a declared invoice value US$ 53139.58 under PCT heading 5407.5100. The importer determined his liability of payment of applicable duties & taxes in terms of Section 79(1) of the Customs Act, 1969. The GD was referred to Examination for confirmation of description, quantity and other physical attribute of the goods.
As per examination report: the entire fabric contains stamp marking in Hindi language (stamp showing DL Dharma brand) which shows that the goods are of Indian origin.
The Shed staff reported that the goods are imported from India instead of China which is banned under Import Policy Order, 2016. Accordingly the adjudicating officer held that charges against appellant had been proved. The portative part of the impugned order as follows: “I have gone through the case record and given due consideration to the submission of the importer. It is confirmed through examination report that the goods are of Indian origin. The offending goods hereby are ordered to be confiscated out rightly and a personal penalty of Rs 25000 is also imposed on the importer.”
The learned council of the imported reiterated the arguments which had already been submitted as grounds of Appeal. The same are reproduced below:
- That the Order in Original is without any merit, not based on any factual position.
- That the impugned goods are directly imported from China as per Bill of Lading No 721710830069 dated 11-09-2017 and as per certificate of origin no 17C4403A2024/01287 dated 14-09-2017 which categorically confirms that all the goods are produced in China.
- That the Respondent No 1 has erred in law by not considering that fact that examination report only shows stamp marking as ‘DL Sharma Brand’ in Hindi language. The writing in Hindi word does not constitute the fact that the goods are produced in India. The fact is further strengthened by the report that the goods were shipped through container no MAGU-5631662 directed from Chinese port dated 11-09-2017 as per tracking report of the company.
- The shipping company Sharaf Shipping Agency confirmed that container no DFSU-3145357 under Bill of Lading No 721710798673 is consigned to M/S SSJ Brothers and loaded from Shekou Port China on Vessel COSCO New York which arrived on PICT on 25-09-2017.
Collector Appeals Shafique Ahmad Latki heard the appeal and concluded, “I have examined the case record and given due consideration to the facts of the case. The issue involved in the instant appeal is origin of the impugned goods, which as per the collectorate, is of Indian origin on the basis of some text written in the Hindi language thereon. The appellant on the other hand has provided the tracking report which shows loading of the container from Chinese port and unloading at PICT and there is no unloading in between. The shipping company also confirmed loading of the container from China. The certificate of origin was authenticated after online verification. The respondent did not deny the aforesaid facts but stressed that inscription on fabric is in Hindi, so the goods seem to be Hindi origin. In view of foregoing, the respondent failed to provide any concrete evidence. The appellant on the hand provided sufficient documentary evidence whereby it can be concluded that the goods were originated from China. Accordingly the ONO is set aside and the appeal is successful.”