2001 (2) TMI 395 - AT - Customs

Summary

Issues: Appeal against revocation of CHA license.

The appellant held a CHA license valid until 31-10-1999 and applied for renewal on 28-10-1999. Allegations were made that the appellant contravened Regulations 13 and 14(b) of CHA License Regulations, 1984 by not charging approved rates and transferring customs clearance work to an unauthorized entity, M/s. S.A. Enterprises. An Inquiry Officer found the appellant in violation of Regulations 13 and 14(a) and (b), leading to the revocation of the license by the Commissioner under Regulation 23 of the CHA License Regulations, 1984. The appellant argued that there was no evidence of license transfer and bills raised on M/s. S.A. Enterprises were legitimate due to business procurement by the appellant's son's company. The appellant contended that the order revoking the license after its lapse was unsustainable and not considering the renewal application. However, the Department argued that the appellant violated Regulations 14(a) and (b) and the license could be revoked until renewal. The Tribunal noted the violation of Regulation 14(b) as the CHA did not personally transact business or use an approved employee, leading to the sustained revocation of the license under Regulation 12 for non-compliance with Regulation 14 obligations.

In conclusion, the Tribunal upheld the revocation order, rejecting the appeal based on the established violations of Regulations 13 and 14(a) and (b) by the appellant. The decision emphasized the importance of compliance with CHA License Regulations, particularly in transacting business personally or through approved employees as stipulated in Regulation 14(b). The Tribunal's analysis focused on the regulatory framework governing CHA licenses, emphasizing the need for license holders to adhere to prescribed procedures and obligations to maintain the validity of their licenses.