S. Duggal, Member (J)

1. The proceedings, culminating in the impugned order of the Collector (Appeals), Calcutta, emanated from two notices of short-levy demand, having been issued upon the appellants herein, covering two imports made by separate Bills of Entry. The first notice, bearing the date 12-6-1981, was in relation to the goods cleared by Bill of Entry No. 1-752 dated 15-12-1980; whereas the second notice, issued on 3-11-1981, was in respect to goods covered by Bill of Entry No. 1-404 dated 10-9-1979. Both the consignments had been cleared initially, after assessment of duty at the rate of 40% plus 5% in terms of Notification No. 154/79-Cus., dated 4-7-1979, on the basis of declaration of the goods as : 'Raw wool from other animal hair'. The Department subsequently came to entertain the view that these goods were classifiable under heading 53.01/05(1) of the Customs Tariff Act, 1975, and as such, not entitled to the benefit of Exemption Notification No. 154/79.

2. It appears that, in the first instance, demand was made in relation to the later Bill of Entry, and after the appellants while filing reply to the said show cause notice, submitted by way of evidence of the dep