1999 (1) TMI 47 - CGOVT - Customs

Summary

Issues:
1. Confiscation and redemption fine of imported goods.
2. Penalty imposition.
3. Revision application for setting aside the order of confiscation, revaluation of goods, exemption for computer software, waiver of redemption fine, and penalty.

Confiscation and Redemption Fine:
The applicant imported miscellaneous goods, including computer peripherals and software, valued at Rs. 1,29,405/-, which were confiscated but allowed on redemption fine of Rs. 1 lakh. The redemption fine was later reduced to Rs. 75,000/- on appeal. The applicant pleaded for setting aside the order of confiscation, revaluation of goods, grant of exemption to computer software, waiver of redemption fine, and penalty. The government observed that computer software imports were exempt under Notification No. 11/97-Cus., dated 1-3-1997, but the exemption did not apply when imported as baggage. Hence, duty was payable despite the claimed exemption. The redemption fine was reduced to Rs. 25,000/-, considering the import policy and Baggage Rules.

Penalty Imposition:
A penalty of Rs. 8,000/- was imposed initially, reduced to Rs. 6,000/- on appeal, and maintained in the revision application. The penalty was not disturbed as the applicant was considered a carrier, and no relief was granted in this regard.

Revision Application:
In the revision application, the applicant sought revaluation, remittance of fine and penalty, refund of duty collected on computer software, and grant of free allowance for a Colour T.V. The government found the plea for refund of duty and revaluation not tenable due to lack of verification of goods and documentation correlation. The applicant was denied the benefit of Rule 5 for the Colour T.V. as he did not avail any BTQ and appeared to have acted as a carrier. The exemption on computer software was deemed unavailable to the applicant, leading to the rejection of the refund plea. Ultimately, the revision application was disposed of with a reduced redemption fine of Rs. 25,000/-.

Conclusion:
The judgment upheld the confiscation and redemption fine, maintained the penalty imposition, and rejected the pleas for revaluation, refund of duty, and exemption on computer software. The applicant's role as a carrier influenced the decision on penalty and the denial of Rule 5 benefit for the Colour T.V. The reduction of the redemption fine to Rs. 25,000/- provided some relief in the overall disposition of the revision application.