2008 (10) TMI 314 - HC - Customs

Order passed by the Commissioner, directing confiscation of the seized foreign currency - The impugned Order further gives an option to the petitioner to redeem the seized currency in lieu of confiscation, on payment of redemption fine of Rs. 10,00,000/- and personal penalty of Rs. 10,00,000/-. The said Order is appealable under Section 129A of the Customs Act. The learned Counsel for the petitioner has contended that the petitioner would be ready and willing to deposit the total sum of Rs. 20,00,000/-, and thus prayed for a direction for refund of the balance amount - prima facie, we are of the view that the Appellate Tribunal is possessed of the powers to deal with the grievance of the petitioner voiced in this petition. Hence, at this stage, we are not inclined to entertain the petition as there exists an alternative efficacious remedy in form of appeal under Section 129A of the Customs Act. - petitioner seeks permission to withdraw the Writ Petition with liberty to file an appropriate application before the Tribunal. Petition allowed to be withdrawn

Summary

Issues:
Challenge to confiscation of seized foreign currency under Customs Act, availability of appeal under Section 129A, petitioner's request for refund of balance amount, jurisdiction of the Appellate Tribunal.

Analysis:

The judgment by the High Court of Bombay pertains to a case challenging the Order passed by the Commissioner of Customs and Central Excise, Goa, which directed the confiscation of seized foreign currency amounting to 68,000 pounds, equivalent to Indian Rs. 51,68,000. The Order provided the petitioner with an option to redeem the currency by paying a redemption fine of Rs. 10,00,000 and a personal penalty of Rs. 10,00,000. The petitioner expressed willingness to deposit the total sum of Rs. 20,00,000, inclusive of the redemption fine and personal penalty, and sought a direction for the refund of the balance amount without prejudice to their rights.

Regarding the appealability of the impugned Order under Section 129A of the Customs Act, the petitioner's counsel contended that the Appellate Tribunal might not consider the request for a refund of the balance amount if the petitioner deposited Rs. 20,00,000. The Court examined the relevant provisions concerning the powers of the Appellate Tribunal and opined that the Tribunal possessed the authority to address the petitioner's grievance. Consequently, the Court declined to entertain the petition at that stage, citing the existence of an alternative efficacious remedy in the form of an appeal under Section 129A of the Customs Act.

Subsequently, the petitioner's counsel sought permission to withdraw the Writ Petition with liberty to file a suitable application before the Tribunal. The Court granted the request, allowing the petition to be withdrawn with the liberty as prayed for. This decision reflects the Court's adherence to legal procedures and the recognition of the jurisdiction of the Appellate Tribunal in addressing the petitioner's concerns within the framework of the Customs Act.