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Issues Involved:
1. Confiscation of non-notified goods valued at Rs. 1675/- 2. Absolute confiscation of notified goods valued at Rs. 11,063/- 3. Imposition of personal penalty of Rs. 10,000/- on the appellant Detailed Analysis: 1. Confiscation of Non-Notified Goods Valued at Rs. 1675/- The Additional Collector ordered the absolute confiscation of non-notified goods valued at Rs. 1675/- for violation of the Baggage (Conditions of Exemption) Rules, 1975. The appellant argued that these goods were regularly imported and available in the market. The Additional Collector's reasoning was based on the condition that the goods should not be sold within five years or until their value depreciated by 50%. However, the show cause notice did not reference these conditions, and the adjudicating authority did not provide a clear finding on which condition was violated. The Tribunal found that the Additional Collector erred in ordering absolute confiscation without offering an option to pay a fine in lieu of confiscation, as required under Section 125 of the Customs Act. The Tribunal set aside the order of absolute confiscation and directed the unconditional release of the non-notified goods valued at Rs. 1675/-. 2. Absolute Confiscation of Notified Goods Valued at Rs. 11,063/- The notified goods were confiscated under Sections 111(p), 111(d), and 111(o) of the Customs Act. The appellant contended that goods valued at Rs. 9,873/- were imported on payment of duty and should not be confiscated absolutely. The Tribunal noted that the Additional Collector did not specify which conditions of import were violated. Even if the goods were liable for confiscation due to non-compliance with Chapter IV-A and Section 111(o), the Additional Collector was required to offer an option to pay a fine instead of absolute confiscation. The Tribunal set aside the absolute confiscation of goods valued at Rs. 9,873/- and directed their release on payment of a fine of Rs. 9,873/-. The confiscation of goods valued at Rs. 850/- was upheld as the appellant did not produce any receipts for these goods. 3. Imposition of Personal Penalty of Rs. 10,000/- on the Appellant The Tribunal considered whether the penalty of Rs. 10,000/- was justified. The appellant had not engaged in smuggling, and except for goods valued at Rs. 850/-, all other goods were validly imported. The Tribunal found that while there was a breach of Chapter IV-A provisions, it did not warrant a penalty of Rs. 10,000/-. The penalty was reduced to Rs. 2,000/-. Conclusion: The appeal was allowed in part. The non-notified goods valued at Rs. 1675/- were ordered to be released unconditionally. The notified goods valued at Rs. 9,873/- were to be released on payment of a fine of Rs. 9,873/-. The personal penalty was reduced from Rs. 10,000/- to Rs. 2,000/-. The order of the Additional Collector, as confirmed by the Board, was otherwise upheld. The appellant was to be granted consequential relief within three months from the date of communication of this order.
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