2003 (6) TMI 112 - AT - Customs

Summary

Issues: Attempted illegal export of currency, Confiscation of currency and car, Penalty imposition

Attempted illegal export of currency:
The appellant, a pilot intercepted by Customs Officers, was found carrying US $61,000 and an additional 5,217 US$ in his wallet. The Customs Officers seized the currency, alleging illegal export in violation of Customs Act, 1962 and Foreign Exchange Regulation Act, 1973. The appellant contended that he intended to deposit the currency in a bank locker at the airport and that no attempt at illegal export was made. However, the tribunal found the appellant's explanation lacking credibility. The tribunal noted that the appellant was intercepted after customs clearance and booking his baggage to Bahrain, indicating an attempt to export the currency. The tribunal upheld the confiscation of the currency and rejected the appellant's plea for redemption.

Confiscation of currency and car:
The tribunal found that the currency was recovered from the person of the appellant, rejecting the appellant's claim that it was recovered from his car. The tribunal also set aside the confiscation of the appellant's car, stating that driving to the airport did not constitute using the car during the smuggling attempt. The tribunal confirmed the confiscation of the currency but ordered the release of the car.

Penalty imposition:
The tribunal imposed a penalty of Rs. 5 lakhs on the appellant for attempting to smuggle over US $61,000 out of India. While justifying the penalty due to the appellant's misuse of his privileged position as a pilot, the tribunal considered the fact that the currency did not belong to him and reduced the penalty from Rs. 10 lakhs to Rs. 5 lakhs. The tribunal confirmed the impugned order, except for the relief granted regarding the car and penalty reduction.

This judgment highlights the tribunal's thorough analysis of the circumstances surrounding the attempted illegal export of currency, the confiscation of currency and car, and the imposition of a penalty on the appellant.