2018 (4) TMI 1476 - AT - Customs

Revocation of courier registration - penalty - it was alleged that assessee have neither obtained the KYC document of Maria Albania Micha nor any authorization regarding the subject consignment at the time of filing the shipping bill - Held that - procurement of KYC and authorization are mandatory requirement under the provisions of Regulations 13(a),(i) & (j) of the Courier Imports & Exports (Clearance) Regulations, 1998 read with the Regulation 12(1)(i)(iv) of the Courier Imports & Exports (Clearance) Regulations, 2010 - assessee-Appellants in the instant case have failed to discharge its duties as they have not obtained the KYC document of Maria Albania Micha, which was not in existence. Taking into account the nature of offence, the quantum of punishment appears to be on a higher side, quantum of penalty reduced - revocation of licence also set aside. Appeal allowed in part.

Summary

Issues: Revocation of license and imposition of penalty for failure to obtain KYC document and authorization for consignment.

In this judgment by the Appellate Tribunal CESTAT NEW DELHI, the appeal was filed against the Order-in-Original passed by the Commissioner of Customs (General), New Delhi. The case involved an authorized Courier Agency that failed to obtain the KYC document and authorization for consignments, leading to the revocation of their license and imposition of a penalty. The Tribunal noted that the procurement of KYC and authorization are mandatory requirements under the relevant regulations. The Tribunal found the assessee guilty for not obtaining the necessary documents, as they did not exist in the case of the consignor Maria Albania Micha. The Tribunal acknowledged the offense but considered the punishment of license revocation to be excessive, modifying the order by setting aside the revocation of the license while upholding the penalty of ?10,00,000. The appeal was partly allowed based on these considerations.