2005(07)LCX0232

IN THE CESTAT, WEST ZONAL BENCH, MUMBAI [COURT NO. II]

S/Shri Krishna Kumar, Member (J) and C. Satapathy, Member (T)

Endosys International

Versus

Commissioner of Customs (AP), Mumbai

Order No. A/791/2005-WZB/C-II, dated 19-7-2005 in Appeal No. C/595/2001-Mum.

Advocated By -

Shri Devang Mittal, Proprietor, for the Appellant.
Shri Vimlesh Kumar, SDR, for the Respondent.

[Order per : C. Satapathy, Member (T)]. -

Heard both sides. The impugned goods are Cobra Scan X-Ray Digitizer alongwith X SCAN tele radiology and tele medicine software which scan and digitize x-ray images for further analysis by Automatic Data Processing (ADP) Machines. The appellants have claimed classification under sub-heading 9018.19 as "other electro diagnostic equipment" whereas the original authority has classified the goods as a unit of ADP machines under sub-heading 8471.90. The lower appellate authority has substantially agreed with the original authority but has ordered classification under sub-heading 8471.60.

2. The literature shows the impugned goods to be a dedicated medical equipment. The machine not only scans x-rays but can also correct over and under-exposed x-rays for better diagnosis by doctors. It is specially made to digitize x-ray films upto 14" × 18" which covers all films such as CT Scan, MRI, Ultrasound, Radiography etc. The appellants have also submitted a certificate from the Department of Radiology, KEM Hospital to the effect that the impugned instrument is exclusively used by hospitals, clinics, and mobile hospitals for diagnosis:

3. Considering the. functions of the impugned goods, we are of the view that the same can not be categorized as a single scanner or digitizer meriting classification as a unit of ADP machines. On the contrary, it merits classification as a "diagnostic apparatus incorporating or operating in conjunction with an ADP machine for processing and visualizing clinical data," under sub-heading 9018.19 as claimed by the appellants. We also note that in other cases similar equipment has been classified by the department under sub-heading 9018.19.

4. Accordingly, we set aside the impugned order and allow the appeal with consequential benefit to the appellants.

(Pronounced in Court)

Equivalent 2006 (194) ELT 0036 (Tri. - Mumbai)

Equivalent 2006 (072) RLT 0714 (CESTAT-Mum.)