2004 (10) TMI 479 - AT - Customs

Summary

Issues:
1. Seizure of goods by BSF officials and subsequent confiscation by Customs authorities.
2. Ownership of the seized goods.
3. Contradictory findings of Assistant Commissioner of Customs and Commissioner of Customs (Appeals).

Analysis:
1. The case involves the seizure of goods by BSF officials and their subsequent confiscation by Customs authorities. The appellants claimed that BSF officials forcibly took away 2,300 kgs of rice purchased from Jalangi Customs Office, which was later deposited before the Jalangi Customs Office. The Customs authority contended that the seizure was due to an attempt to illegally export the goods to Bangladesh. A show cause notice was issued to the appellants, leading to the confiscation of the goods by the Assistant Commissioner of Customs, Krishnagar Customs Division.

2. The issue of ownership of the seized goods was raised during the proceedings. The appellants, who were grocery dealers with a retail license for dealing in rice, asserted that they were the rightful owners of the rice seized by BSF officials. They provided documentation to prove their ownership, including cash memos and licenses. The appellants argued that there were discrepancies in the seizure process and that the Customs authorities had colluded with BSF personnel to fabricate a false case against them.

3. The judgment highlighted the contradictory findings of the Assistant Commissioner of Customs and the Commissioner of Customs (Appeals). While the Assistant Commissioner concluded that the goods were being illegally exported to Bangladesh, the Commissioner of Customs (Appeals) stated that the seizure was made by BSF personnel in the border area as unclaimed goods. The judgment pointed out that the facts presented by the BSF personnel and the Customs authorities were self-contradictory. It was noted that the show cause notice mentioned the goods being forwarded along with apprehended persons, raising doubts about the authenticity of the seizure and export attempt allegations. Ultimately, the judgment allowed the appeals, stating that the appellants were entitled to the possession of the rice and that the order of confiscation was legally flawed.