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Problem with buyer from US

Here it goes. I bought a Samsung Galaxy Vibrant from ebay.com for $285 including shipping. I asked the buyer to declare the item as a gift worth $200 for the customs. Instead the buyer declared it as used mp3 player worth $50. Customs have charged me Rs7000 as duty for undervaluation and misrepresentation. I have refused to accept the item. Complained to the seller about the declaration. Seller informed me that he declares all item as worth $50 and is not responsible for the custom charges. I asked him to declare the items correctly. I have files a dispute with ebay. Seller has said that he`ll only refund the item after receiving it in original condition. I have already refused to accept the item and is now back with customs. He is holding me responsible for any damages to the item, eventhough i have not even seen the product. Shall i escalate it to a case on ebay? Where do i stand legally? All your help is appreciated.

Regards.
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Problem with buyer from US

Its your sellers fault if he hasnt declared the goods as per what was ordered inspite of you saying him to declare actual. I am not sure how the case would be adjudicated. But seems like your money is gone. Whenever you order from overseas you should be able to bear the risk associated with it else never order. Customs will never send the item back as far as i know. The tracking website will display buyer refused delivery and case will go in favour of the seller.

Better to salvage whatever gain you can from this transaction.
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Problem with buyer from US

Thanks for the above replies. I got a copy of his customs declaration. It clearly shows him declaring the value of the item. The item as gone back to customs for cancellation of the duty. Will they send it back to the US. I asked the seller to raise hell with USPS and get his item back. Will that help. He has promised to refund once he get`s the item in original condition. But the problem is, i have not even seen the item. If it was damgaged during transit, he may refuse to pay. Shall i escalate the dispute to case on ebay? I got a copy of his declaration and the note i sent him to declare the items corectly.
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Problem with buyer from US

Got a new update on the tracking info Origin Post is Preparing Shipment .Does that mean they`re sending it back to the US?
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