2000 (1) TMI 478 - AT - Customs

Summary

Issues: Confiscation of truck under Section 115(2) of the Customs Act, 1962.

In this case, the appellant appealed against the Commissioner's order confiscating a truck loaded with foreign origin goods found to be contraband. The appellant argued that neither the owner nor the driver had knowledge of the goods being contraband. The appellant contended that since others accompanying the goods did not disclose the nature of the goods to the driver, confiscation of the truck was not justified under Section 115(2). The appellant did not claim ownership of the confiscated goods. The respondent, on the other hand, pointed out that the driver stood to earn more than usual fare by transporting contraband goods, indicating his knowledge. The driver's statement revealed discrepancies, as he initially claimed the truck was empty when it was loaded with contraband items. The respondent argued that the driver's confession proved his awareness of the nature of the goods, justifying confiscation under Section 115(2) of the Customs Act, 1962.

Upon reviewing the arguments and the impugned order, the Tribunal found that the driver was indeed aware of the contraband nature of the goods being transported in the truck. The driver's admission of knowledge, coupled with his attempt to mislead authorities by claiming the truck was empty, established his complicity. The Tribunal rejected the appellant's argument that the driver's knowledge hinged on others disclosing the nature of the goods. It clarified that Section 115(2) of the Customs Act did not require a specific mode of knowledge about contraband items, only that the person in charge of the vehicle at the time was aware of the goods being contraband. Consequently, the Tribunal upheld the confiscation of the truck under Section 115(2). However, considering that the truck owner was unaware of its illicit use, the Tribunal reduced the redemption fine from Rs. 1.0 lac to Rs. 20,000. Thus, the appeal was rejected, except for the modification in the quantum of the redemption fine.