9911796707
|
Home
Issues:
- Disposal of confiscated goods and sale proceeds - Exercise of option to redeem goods within stipulated period - Department's obligation to implement order-in-appeal reducing final payment - Rights of the respondents in claiming sale proceeds Analysis: The case involves an appeal by the Revenue against an order-in-appeal regarding the redemption of confiscated goods. The Superintendent allowed the respondents to redeem the goods on payment of a fine and penalty, with a stipulated period for exercising the option. However, the goods were sold through auction as the option was not exercised within the set timeframe. The respondents appealed, and the Collector (Appeals) reduced the redemption fine and penalty. The respondents requested the release of goods, but the request was rejected by the Superintendent. The Collector (Appeals) held that the sale proceeds should be released to the appellants after deduction. The appellant argued that since the option was not exercised within the specified period, the Department was justified in selling the goods. On the other hand, the respondent contended that once the Collector (Appeals) reduced the final payment, the Department was obligated to release the sale proceeds after deduction. The Tribunal noted that the respondents had filed an appeal, indicating their ongoing claim on the goods, and the failure to intimate the Department about the appeal did not vest the goods with the Government. The Tribunal referred to a previous case to establish that if goods are disposed of during the appeal process, the Department is liable to pay the sale proceeds after deducting the redemption fine. It was held that the respondents had the right to receive the goods upon payment of the reduced redemption fine and penalty. Denying them the sale proceeds would impose an additional burden. Consequently, the Tribunal rejected the appeal by the Revenue and upheld the order of the Collector (Appeals) to release the sale proceeds to the respondents.
|
