2008 (2) TMI 742 - AT - Customs

Summary

Issues involved:
The issues involved in this case are the suspension and revocation of a Custom House Agent (CHA) license, violation of regulations under the Custom House Agent's Licensing Regulations, 1984, and evasion of customs duty.

Suspension and Revocation of CHA License:
The Commissioner suspended the CHA license of the appellants based on a show cause notice alleging evasion of customs duty. The suspension was later revoked pending an enquiry under Regulation 23 of the CHALR, 1984. The Inquiry Officer found all charges against the appellants to be proved, leading to the revocation of the CHA license and forfeiture of the security deposit by the Commissioner.

Violation of Regulations:
The appellants were charged with violating various regulations under the CHALR, 1984, including Regulations 13, 14(a), 14(b), 14(d), 14(f), 14(k), 14(l), and 20(7). The inquiry report established that the appellants allowed the use of their CHA license to sub-agents for monetary consideration, transferring the license to other firms in violation of Regulation 13.

Evasion of Customs Duty:
The malpractices adopted by the CHA enabled other firms to defraud the Government exchequer by evading customs duty amounting to Rs. 3.84 crores. The main charge and the corollary charges were found proved against the appellants, leading to the rejection of their appeal by the Tribunal.