2009 (3) TMI 772 - AT - Customs

Summary

The case involves an appeal by Shri P.G. Chacko against a penalty of Rs. 10,000 imposed under Section 112(a) of the Customs Act. The penalty was due to his failure to mark seven wooden crates, which were found to contain dutiable goods. The appellant, a marker with a stevedore company, was held liable for abetting smuggling by not marking the crates. However, the Assistant Shed Superintendent, responsible for presenting goods to the appellant for marking, was also penalized for failing to report the excess crates to customs. The Commissioner's decision was deemed unjustifiable as the appellant's omission to mark the crates was due to them not being presented to him. The lack of established nexus between the appellant's actions and the smuggling, as well as the absence of a specified principal offender, rendered the penalty unsustainable. Consequently, the penalty was set aside, and the appeal was allowed. The judgement was pronounced in court by the presiding officer, Shri P.G. Chacko, represented by Shri P. Pannikar, Advocate, and Shri Manish Mohan, SDR, for the Respondent. The order was made by the Appellate Tribunal CESTAT, Mumbai in 2009.