2007 (1) TMI 356 - AT - Customs

Summary

Issues involved: Misdeclaration of importer's name in IGM, imposition of redemption fine, penalty on steamer agent.

Misdeclaration of importer's name in IGM:
The case involved a situation where the shipping agent filed the IGM with the name of the importer incorrectly mentioned as Telebrands, Mumbai instead of the actual importer, Rico Gems Corporation. The mistake was attributed to the fact that the products imported were intended to be marketed by Telebrands. The error was rectified when the importer filed the bill of entry and the steamer agent filed an amendment letter. It was argued that this was a clerical mistake with no malicious intent.

Imposition of redemption fine:
The learned DR contended that in certain customs offences, mens rea is not necessary for imposing penalties. Reference was made to a judgment of the Hon'ble High Court of Madras in a similar case. However, upon careful consideration, it was observed that while there was a misdeclaration of goods, the importer had no role in the incorrect filing of the IGM. As the misdeclaration seemed to be a genuine mistake with no intent on the part of the importer, the redemption fine was deemed unwarranted and set aside.

Penalty on steamer agent:
Regarding the penalty imposed on the steamer agent for the mistake in filing the IGM, it was noted that there was indeed an error on the part of the agent. The penalty was deemed not excessive and was upheld. The judgment concluded by disposing of the appeals in accordance with the above considerations, setting aside the redemption fine but sustaining the penalty on the steamer agent.