1986 (10) TMI 236 - AT - Central Excise

Summary

Issues Involved:
1. Imposition of personal penalties under the Gold (Control) Act, 1968 and the Customs Act, 1962.
2. Confiscation of seized gold biscuits and gold strips.
3. Voluntariness and reliability of confessional statements.
4. Reduction of penalties imposed.

Detailed Analysis:

1. Imposition of Personal Penalties:
The appeals were directed against the imposition of personal penalties on the appellants under the Gold (Control) Act, 1968 and the Customs Act, 1962. The Adjudicating Authority had imposed various penalties on the appellants for contravening the provisions of these acts. The penalties were as follows:
- Shri Kishan Chand: Rs. 1,00,000/- under each Act.
- Shri Jaswant Rai: Rs. 2,00,000/- under each Act.
- Shri Sudershan Kumar: Rs. 2,00,000/- under each Act.
- Smt. Usha: Rs. 5,000/- under each Act.

The appellants contended that the penalties were excessive. The tribunal, after considering the facts and circumstances, reduced the penalties for each appellant to Rs. 25,000/- under the Customs Act and Rs. 25,000/- under the Gold (Control) Act.

2. Confiscation of Seized Gold Biscuits and Gold Strips:
The confiscation of the seized gold biscuits and gold strips was not challenged by the appellants. The tribunal noted that the order of confiscation was confirmed by the Gold (Control) Administrator and the Central Board of Excise and Customs, and no appeal was filed against those orders.

3. Voluntariness and Reliability of Confessional Statements:
The tribunal examined the voluntariness and reliability of the confessional statements made by the appellants.

- Shri Jaswant Rai: The tribunal found that the confessional statement made by Jaswant Rai was voluntary and contained minute details of the crime. The statement was corroborated by the statements of Smt. Usha and Kishan Chand. The tribunal rejected the contention that the statement was obtained under torture, noting that the retraction was made eight days after the confession and lacked immediate complaint of torture.

- Smt. Usha: The tribunal found Smt. Usha's confessional statements to be voluntary and true. Her statements contained detailed accounts of the events and were not retracted until after the issuance of show cause notices. The tribunal concluded that her statements were credible and corroborated the confessional statements of other appellants.

- Shri Sudershan Kumar: The tribunal held that the confessional statements of Smt. Usha, along with other evidence, were sufficient to connect Sudershan Kumar with the offence. The tribunal noted that the recovery of the gold biscuits and the receipt of payment by Sudershan Kumar were corroborated by Smt. Usha's statements.

- Shri Kishan Chand: The tribunal found Kishan Chand's confessional statement to be voluntary and corroborated by Smt. Usha's statements. The tribunal rejected the contention that the statement was not in his handwriting or language, noting that the cross-examination of the officer who recorded the statement did not challenge its veracity.

4. Reduction of Penalties Imposed:
The tribunal considered the facts and circumstances of each case and reduced the penalties imposed on the appellants. The penalties were reduced to Rs. 25,000/- under the Customs Act and Rs. 25,000/- under the Gold (Control) Act for each appellant.

Conclusion:
All the appeals were partly allowed with the reduction of penalties as stated above. The tribunal upheld the findings of the Adjudicating Authority regarding the contravention of the Gold (Control) Act and the Customs Act, but reduced the penalties considering the circumstances of each case.