2018 (1) TMI 1371 - HC - Customs

Waiver of penalty u/s 112(a) of the Customs Act, 1962 - respondents states that he has received instructions by e-mail stating that the goods in question were not prohibited goods - Held that - We take the statement made by the counsel for the respondents on record and the order-in-original dated 29th August, 2017 against the petitioner imposing penalty under Section 112(a) of the Customs Act, 1962 would be treated as null and void/cancelled. Fresh order would be passed by the adjudicating authority, namely, Commissioner (Exports) without being influenced by the earlier order. The entire issue of penalty and the section/provision applicable would be examined afresh. Petition disposed off.

Summary

Issues involved:
Challenge to penalty imposed under Section 112(a) of the Customs Act, 1962.

Analysis:
The judgment pertains to a case where the penalty of ?1 crore was imposed on the petitioner under Section 112(a) of the Customs Act, 1962. The counsel for the respondents informed the court that the goods in question were not prohibited goods, and hence, the penalty order was to be reconsidered. The court accepted this statement and declared the penalty order as null and void. A fresh order was directed to be passed by the adjudicating authority, the Commissioner (Exports), without any influence from the previous order. The issue of penalty and the relevant provision would be re-examined.

To expedite the process, the authorized representative of the petitioner was instructed to appear before the Commissioner (Exports) on a specified date. The court disposed of the writ petition without imposing any costs on either party. The judgment emphasized a fair reconsideration of the penalty issue in light of the new information provided by the respondents regarding the nature of the goods involved. The decision highlighted the importance of due process and a fresh examination of the penalty matter by the competent authority to ensure fairness and justice in the proceedings.