Civil Appeal No. 9150 of 1995, decided on 2-12-199

Valuation (Customs) of second-hand machinery - Popular publications/magazines indicating price of machines generally not available - Value of second-hand machine on the basis of Chartered Engineer’s Certificate and scaling down the price of machine by giving depreciation, is not an arbitrary method for ascertaining the value thereof - Different criteria for valuation of second-hand car and second-hand machinery - Tribunal’s decision for valuation of second-hand machinery under Rule 8 of Customs Valuation (Determination of Price of Imported Goods) Rules, 1988 upheld - 1993 (68) E.L.T. 551 (Cal.) approved - Section 14 of the Customs Act, 1962.

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CASE CITED

Debabrata Ghosh v. Assistant Collector — 1993 (68) E.L.T. 551 (Cal.) — Approved_________[Para 1]

[Order]. - We have heard learned Counsel for the appellant and we do not find any reason to interfere. Learned Counsel for the appellant relied upon the judgment of a learned single judge of the High Court at Calcutta in Debabrata Ghosh v. Assistant Collector of Customs [1993 (68) E.L.T. 551]. That was a case in which the auction price of a car bought in England was not accepted but the valuation was made by ascertaining the price of the car when new and then allowing depreciation. The learned judge found this impermissible on the facts of that case, as we would have done, because the price of a second-hand car such as that involved in that case could easily have been ascertained by reference to popular magazines and publications relating to cars in England. There are no popular publications that would indicate the prices of machines. Therefore, ascertaining the value of the second-hand machine imported by the appellants, when new, based on the certificate produced by the appellant itself, and scaling down that price by giving depreciation does not appear to be an arbitrary method of ascertaining its value.

2.The appeal is dismissed. No order as to costs.

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