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Issues:
1. Confiscation of goods of foreign origin under Section 111(d) of Customs Act, 1962. 2. Redemption fine and penalty imposed by the Commissioner of Customs (Appeals). 3. Contention regarding the seizure of goods from a shop for sale. 4. Burden of proof on the appellants regarding the nature of the seized goods. 5. Legal principles regarding non-notified goods freely available in the market. 6. Reference to previous judgments by the Tribunal and Apex Court. Analysis: 1. The appeals in this case stemmed from a common Order-in-Appeal, where goods of foreign origin were confiscated under Section 111(d) of the Customs Act, 1962. The Commissioner of Customs (Appeals) had ordered the confiscation of goods valued at specific amounts, with redemption fines and personal penalties imposed on the appellants. The primary contention of the appellants was that the seized goods, which were freely available in the market, should not have been confiscated as they were purchased from legitimate sources and not smuggled into India. 2. The appellants argued that the Revenue's basis for confiscation was the lack of purchase bills or receipts, and the absence of documents proving the duty-paying nature of the goods. However, they maintained that the goods were lawfully acquired from local markets and licitly imported sources. The appellants emphasized that the Revenue failed to establish that the goods were smuggled or illicitly brought into India, as they were openly displayed for sale in a shop. 3. The Tribunal, after considering various judgments, including its own previous rulings and those of the Apex Court, held that non-notified goods freely available in the market cannot be seized merely based on foreign markings. The Tribunal referenced specific cases where it was established that if the burden to prove smuggling was not met by the Department and the goods were not notified, they could not be confiscated. 4. The Departmental Representative reiterated the findings of the Commissioner (Appeals), emphasizing the foreign origin of the seized goods and the appellants' failure to provide sufficient documentation to prove the legality of their purchase. However, the Tribunal noted that the goods were seized from a shop where they were openly displayed for sale, and the appellants consistently maintained that they acquired the goods from legitimate sources. 5. The Tribunal ultimately ruled in favor of the appellants, highlighting that the Department had not discharged the burden of proving the goods were smuggled. While acknowledging that certain items like calculators required licenses for import, the Tribunal found that the appellants' case did not involve importing such goods without proper authorization. Therefore, the Tribunal set aside the impugned order, allowed the appeals, and directed the release of the goods, granting the appellants the benefit of doubt based on established legal principles. 6. The judgment extensively referred to previous decisions by the Tribunal and the Apex Court, emphasizing the importance of proving smuggling in cases involving non-notified goods freely available in the market. The Tribunal's decision was based on the lack of evidence supporting the Department's claim of smuggling and the appellants' consistent assertion of lawfully acquiring the goods from legitimate sources.
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