2007 (2) TMI 392 - AT - Customs

Summary

Issues involved: Challenge to suspension of Customs House Agent (CHA) license and forfeiture of security deposit.

Summary:
1. The appeal was filed by a Customs House Agent against the suspension of their license and forfeiture of the security deposit by the Commissioner. The suspension was based on the finding that the CHA fraudulently altered a DEEC license to benefit their clients under the DEEC scheme. The alteration inflated the import value by 100 times. The CHA's license was suspended pending investigations, and the suspension was confirmed for a period up to 11-11-2007 with the order of forfeiture of the security deposit.

2. After enduring over 3 years and 3 months of suspension, the CHA did not challenge the Commissioner's order but sought a curtailment of the remaining suspension period to resume business. The CHA expressed remorse for past actions and a commitment to operate lawfully. Precedents were cited where similar reliefs were granted to other CHAs in comparable situations. The CHA was willing to forfeit the deposit for an early resumption of business. The Commissioner argued for the suspension to continue due to the seriousness of the offense committed.

3. Considering the apologetic stance of the CHA and their commitment to abide by the law in the future, the Tribunal decided to follow the precedents cited. The suspension of the license beyond 28-2-2007 was lifted, and the order of forfeiture of the security deposit was maintained. The CHA was allowed to resume business from 1-3-2007 after making a fresh deposit, with a clear directive that this decision did not imply conceding any grounds raised in the appeal.

4. The appeal was disposed of with the above decision, allowing the CHA to operate their business in compliance with regulations and the assurance given to abide by the law.