2011 (8) TMI 1114 - HC - Customs

Summary

Issues involved: Appeal against dismissal of Writ Petition, release of vehicle on interim order, appeal before Commissioner of Customs (Appeals), imposition of redemption fine and penalty.

Appeal against dismissal of Writ Petition:
The appellant was aggrieved by the dismissal of the Writ Petition on the ground of not availing the alternate remedy by way of statutory appeal. The appellant then preferred a Writ Appeal challenging the judgment dated 22.09.2010.

Release of vehicle on interim order:
An interim order dated 5th October, 2010 directed the respondent to release the vehicle to the appellant upon payment of customs duty and providing a bank guarantee of Rupees ten lakhs. The appellant was also instructed not to use the vehicle on roads without appropriate licenses and permits.

Appeal before Commissioner of Customs (Appeals):
The appeal filed by the appellant before the Commissioner of Customs (Appeals) was in response to the original order of the Commissioner of Customs dated 13th September, 2010. The appellate order dated 27th January, 2011 upheld the lower authority's decision to reject the appeal and impose a redemption fine and penalty on the appellant.

Imposition of redemption fine and penalty:
The appellant had imported a second-hand car in violation of Foreign Trade Policy, leading to confiscation under Customs Act, 1962. The lower authority imposed a redemption fine of Rupees 1,50,000 and a penalty of Rupees 50,000 for the offense. The appellate order upheld these penalties.

In the subsequent proceedings, it was noted that the appellate authority had misunderstood the interim order of the High Court regarding the re-export of the imported car. It was clarified that the bank guarantee provided by the appellant could be revoked, and the Revenue was advised to pursue statutory remedies if aggrieved by the appellate order of the Commissioner of Customs (Appeals). The Writ Appeal was disposed of accordingly.