MIRAH EXPORTS PVT. LTD. vs COLLECTOR OF CUSTOMS

The Supreme Court addressed the issue of undervaluation for customs duty under Section 14 of the Customs Act, 1962, in the context of imported ball bearings. The Court held that the valuation must reflect the true market value and that misdeclaration of value, as evidenced in the case of Mirah Exports, renders the imports liable for action under Section 111(m) of the Act. The judgment upheld the Tribunal's decision regarding the undervaluation and the consequent penalties imposed.