2023 (11) TMI 911 - Other - Customs

Seeking grant of bail - evasion of Customs Duty - misdeclaration of year of manufacturing in order to under value the goods to evade applicable customs duty - HELD THAT - The investigation relating to misdeclaration of year of manufactured of old and used crane is based on the documents which are with respective RTO's and called by the prosecution. On behalf of applicant/accused it is submitted that, he is ready to cooperate for investigation and submit document which are available with him. Therefore considering that, it is just and proper to enlarge him on bail on certain terms and conditions. It is directed that accused be released on bail on fulfilment of conditions imposed - application allowed.

Summary

Issues involved: Bail application u/s 132, 135 (1) (a) of the Customs Act, 1962.

Summary:

Issue 1: Bail Application
The applicant/accused sought bail, claiming innocence and lack of criminal record, being a permanent resident of Mumbai. Alleged no notice served u/s 41A CrPC. Willing to cooperate for investigation.

Issue 2: Alleged Offences
Accused arrested for misdeclaration of crane manufacturing year to evade customs duty, causing significant revenue loss. Accused implicated in filing 63 bills of entry for old cranes with undervalued duty payments.

Issue 3: Investigation Details
Accused confessed involvement in misdeclaration scheme, implicating others. Prosecution highlighted deep-rooted economic offenses affecting public funds. Fear of absconding and evidence tampering if granted bail.

Issue 4: Court Analysis
Court noted arrest details and typographical errors in remand application. Prosecution emphasized the seriousness of economic offenses. Defense argued cooperation and readiness to provide documents for investigation.

Issue 5: Prosecution's Claims
Prosecution detailed the misdeclaration scheme and accused's non-cooperation initially. Documents from RTO authorities crucial for ongoing investigation. Accused's claim of proper assessment disputed by prosecution.

Issue 6: Defense's Arguments
Defense claimed proper assessment by a chartered engineer but prosecution highlighted discrepancies in documents submitted for registration. Accused's appearance after initial summons noted.

Issue 7: Summonses and Cooperation
Prosecution detailed accused's responses to summonses and document submission. Accused's claim of documents with purchasers countered by prosecution's demand for submission.

Issue 8: Bail Decision
Court considered the seriousness of economic offenses but granted bail based on accused's readiness to cooperate. Bail conditions imposed to ensure accused's presence, non-influence on witnesses, and cooperation in the investigation.

Conclusion:
The court allowed the bail application, requiring a PR bond and cash bail. Accused directed to cooperate, not influence witnesses, surrender passport, seek permission for travel, and provide contact details. Further conditions imposed for regular reporting and address updates.