2002 (10) TMI 718 - AT - Customs

Summary

Issues Involved:
Appeal against confiscation and imposition of redemption fine on trucks; Appeal challenging penalty imposition under Sec. 112 of the Customs Act.

Analysis:
1. Confiscation and Redemption Fine on Trucks:
The case involved two trucks intercepted by Customs officers carrying smuggled small cardamoms. The drivers and cleaners admitted to loading the goods and receiving higher fares. The appellants argued that the goods were not proven to be smuggled. However, the revenue contended that the drivers' statements confirmed the goods were smuggled from Nepal. As nobody claimed the goods, and the drivers had knowledge of the illegal nature, the Tribunal upheld the confiscation of the goods. The redemption fine was reduced to Rs. 30,000 each for the trucks.

2. Penalty Imposition under Sec. 112:
The appellants challenged the penalty imposed on them for transporting smuggled goods. The revenue argued that the drivers admitted to knowing the goods were smuggled and were to receive extra rewards. The Tribunal held that since the drivers were aware of the illegal nature of the goods and were transporting them, they were liable for penal action. The penalty imposition under Sec. 112 of the Customs Act was upheld.

3. Legal Precedents and Expert Opinions:
The appellants relied on a Tribunal case regarding seized goods of foreign origin. However, the Tribunal found that in this case, the circumstances and admissions of the drivers indicated the goods were smuggled. The Tribunal also noted that the drivers did not produce any evidence to prove the goods were legally imported or of Indian origin. Therefore, the legal precedent cited by the appellants was deemed inapplicable to the present case.

4. Confiscation of Goods and Knowledge of Drivers:
The Tribunal referred to a Supreme Court case to uphold the confiscation of the goods, stating that the drivers' knowledge of transporting contraband goods rendered the trucks liable for confiscation. As the drivers were aware of the illegal nature of the goods and were involved in transporting them, the confiscation was upheld. However, the redemption fine was reduced based on the circumstances of the case.

In conclusion, the Tribunal dismissed the appeals against confiscation and penalty imposition, upholding the lower authorities' orders based on the drivers' admissions and lack of evidence proving the goods' legal origin. The redemption fine was reduced, considering the overall circumstances of the case.