1984 (10) TMI 220 - AT - Central Excise

Summary

Issues:
1. Appeal against the order of Collector of Central Excise under Gold Control Act, 1968.
2. Confiscation of gold and gold ornaments for alleged contravention.
3. Challenge to imposition of fine and penalty.
4. Validity of appellant's license and maintenance of records.
5. Reduction of penalty and fine.
6. Filing of Cross Objection by the Respondent.

Analysis:

1. The appellant filed an appeal against the order of the Collector of Central Excise under the Gold Control Act, 1968, concerning the confiscation of gold and gold ornaments due to alleged contravention of the Act.

2. The appellant's shop premises were searched, leading to the recovery of gold and gold ornaments, along with private books of accounts showing illicit transactions. The Collector confiscated a portion of the seized goods and imposed a fine and penalty on the appellant.

3. The appellant challenged the imposition of fine and penalty, arguing that they were excessive. The appellant also claimed to have applied for a license as a goldsmith and disputed the valuation of the seized items.

4. The validity of the appellant's license and the maintenance of records were contested. The appellant's consultant argued that the private books of accounts should be considered as records under the Gold Control Act, but the Tribunal upheld the Collector's findings.

5. The Tribunal, after considering the arguments from both sides, upheld the confiscation of a portion of the gold and gold ornaments but reduced the penalty imposed by the Collector. The fine in lieu of confiscation was deemed appropriate, and the appellant received a partial relief in terms of penalty reduction.

6. The Respondent filed a Cross Objection, which was challenged by the Tribunal based on the provisions of the Gold Control Act. The Tribunal held that the Respondent did not have the right to file a cross objection and dismissed the same.

This judgment highlights the legal proceedings surrounding the confiscation of gold and gold ornaments under the Gold Control Act, addressing issues related to fines, penalties, licenses, and the filing of cross objections by the Respondent.