2004 (1) TMI 412 - AT - Customs

Summary

Issues: Appeal against cancellation of 'G' Card.

In this case, the appellant filed an appeal against the cancellation of his 'G' Card under the Customs House Agents Licensing Regulations, 1984 (CHA Regulations). The appellant had passed the required examination under Regulation 20 of the CHA Regulations and was employed with a CHA firm. During a written examination under Regulation 9, a small piece of paper was found in his possession, leading to the withdrawal of his 'G' Card without a show cause notice or hearing. The Deputy Commissioner cancelled the 'G' Card, and the Commissioner (Appeals) upheld the decision based on the appellant's alleged resignation. The appellant argued that the recovery of the paper should not result in card cancellation, and any irregularity in the examination should not warrant such severe action. The appellant's advocate contended that cancellation was disproportionate, especially considering the time that had passed since the incident.

The respondent argued that the authority approving appointments also has the power to disapprove, justifying the cancellation based on the misconduct of possessing the paper during the examination. Referring to a previous case, the respondent highlighted the obligation of Customs Authorities to inquire into the character of individuals under Regulation 20, allowing denial of approval if antecedents are questionable. The respondent maintained that the possession of the paper justified the cancellation of the 'G' Card.

Upon considering the arguments, the Tribunal found merit in the appellant's submissions. It was observed that cancelling the 'G' Card for carrying a piece of paper was disproportionate to the offense. The Tribunal clarified that while the Revenue could cancel approval for employee appointments, it did not have the authority to cancel a 'G' Card issued after passing the required examination. The Tribunal set aside the cancellation of the 'G' Card, allowing the appeal filed by the appellant against the decision to cancel his card.