9911796707
|
Home
Issues: Confiscation of black tea under Customs Act; Liability of tea owners and transporters; Interpretation of concealment under Section 119; Tribunal's precedent in Mazda Chemicals case.
In the judgment by the Appellate Tribunal CESTAT, Kolkata, the issue revolved around the confiscation of 9180 Kg. of black tea under Section 119 of the Customs Act, belonging to a company, with the option to release upon payment of a redemption fine. The Commissioner of Customs had confiscated the tea, alleging it was used to conceal contraband metal scrap. The first issue addressed was the liability of the tea owners, M/s. Rossell Industries Ltd., and the Tribunal noted that although the tea bags were liable for confiscation, the owners were not connected to the smuggling activity and were engaged in normal business transportation. Citing the precedent set in the Mazda Chemicals case, the Tribunal concluded that the confiscation of tea bags used to cover contraband was not justified, leading to the setting aside of the confiscation and allowing the appeals. The second issue involved the transporters, M/s. Eastern Road Carriers Ltd., who also faced confiscation of the tea seized from their possession. The Tribunal, having already ordered the unconditional release of the tea, deemed no further orders necessary concerning the transporters. The judgment highlighted the importance of distinguishing between concealment and normal business activities in cases involving the confiscation of goods under the Customs Act. Ultimately, both appeals were disposed of accordingly, with the confiscation of the tea being set aside and the release granted to the concerned parties based on the Tribunal's interpretation of the law and relevant precedents.
|
