The petitioner,  challenged the impugned order dated 21st April 2021 issued by the Customs Department, which had confiscated used haemodialysis machines imported by the petitioner and imposed a penalty for alleged violations of the Hazardous and Other Wastes (Management, Handling, and Trans-Boundary Movement) Rules, 2016. The court set aside the impugned order, holding that the Customs Department failed to substantiate its claims that the imported goods were hazardous waste or prohibited under the relevant rules. The court also allowed the petitioner to apply for a refund of Rs.5,00,000/- paid as redemption fine.

1. Introduction

The petitioner, engaged in the import and supply of medical equipment, imported used haemodialysis machines into India. The machines were examined by Chartered Engineers and certified as not being hazardous waste or e-waste. Despite this, the Customs Department raised objections and issued a show cause notice alleging that the goods violated the Hazardous and Other Wastes (Management, Handling, and Trans-Boundary Movement) Rules, 2016.

2. Objections Raised by Customs

The Customs Department issued a show cause notice on 19th March 2021, alleging that the imported goods were prohibited under the said rules. The Department claimed that the haemodialysis machines were "Used Critical Care Medical Equipment" and were prohibited for import.

3. Petitioner's Defense

The petitioner argued that the imported goods were not hazardous waste or e-waste and that the Customs Department had misinterpreted the relevant rules. The petitioner also submitted various certificates supporting their claim that the imported machines were not waste.

4. Court's Findings

The court found that the Customs Department failed to provide any discussion or finding in the impugned order that the imported goods were hazardous waste. The court also noted that the Department's rejection of the assessable value declared by the petitioner and the subsequent order of confiscation and penalty were unjustified.

5. Conclusion

The court set aside the impugned order dated 21st April 2021, allowing the petitioner to apply for a refund of the redemption fine of Rs.5,00,000/- deposited with the Customs Department. The petition was disposed of with no order as to costs.