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PETITIONER: THE ANDHRA PETROCHEMICALS

       Vs.

RESPONDENT: COLLECTOR OF CUSTOMS MADRAS

DATE OF JUDGMENT:       06/02/1997

BENCH: B.P. JEEVAN REDDY, K. VENKATASWAMI

ACT:

HEADNOTE:

JUDGMENT:                          O R D E R      We have  heard the counsel for both the parties at some length. We  have been  taken through  the  three  agreements concern herein,  the orders  of the  Government of India and the Judgment  of the  Tribunal under appeal. We are inclined to  agree  with  the  Tribunal  that  the  three  agreements represent a  single transaction  between the  appellant  and Davy Mckee  (London ) Limited, U.K. and that they are in the nature of  a package  deal. It may be that all the equipment that  was  contemplated  to  be  purchased  abroad  was  not purchased and  that some of it was locally procured but what was imported  was specially  manufactured on  the  basis  of design and  engineering specifications  provided by Davy. We are of  the opinion  that the  Tribunal was tight in holding that the  agreement relating to purchase of equipment cannot be dissociated  from  the  other  agreements  and  that  the authorities were right in loading the design and engineering charges at  Pounds 11.50  lakhs  on  to  the  value  of  the imported equipment  under Rule  9 read  with Rule  4 of  the Customs Valuation Determination of Price of Imported (goods) Rules, 1988.  The facts  set out by the Tribunal in Paras 32 to 34  do support the conclusion arrived at by it. We see no reason to  differ from  the view  taken by the Tribunal. The appeal accordingly fails and is dismissed. No costs.