Other liabilities of carriers: - CBEC's Customs Manual 2023 - Customs

13. Other liabilities of carriers: 13.1 The person in charge of vessel/aircraft has other legal liabilities under the Customs Act, 1962 , the non-fulfilment of which may result in suitable penal action, as reflected in Sections 115 and 116 of the Customs Act, 1962 . For instance, Sections 115 provides for confiscation of vessel / conveyance in the following circumstances: (a) A conveyance within Indian waters or port or Customs area, which is constructed, adopted, altered or altered for concealing goods. (b) A conveyance from which goods are thrown overboard, staved or destroyed so as to prevent seizure by Customs officers. (c) A conveyance, which disobeys an order under Section 106 to stop or land, without sufficient cause. (d) A conveyance from which goods under drawback claim are unloaded without the proper officer's permission. (e) A conveyance, which has entered India with goods, from which substantial portion of goods are missing and failure of the master to account therefor. (f) Any conveyance, when used as means of transport for smuggling of any goods or in the carriage of any smuggled goods, unless the owner establishes that it was used without the knowledge or connivance of the owner, his agent and the person in-charge of the vessel. 13.2 Under Section 116 of the Customs Act, 1962, penalty may be imposed on the person incharge of vessel if there is failure to account for all goods loaded in the vessel for importation into India or transhipped under the provisions of Customs Act and these are not unloaded at the place of destination in India or if the quantity unloaded is short of the quantity to be unloaded at particular destination. Penalty may be waived if failure to unload or deficiency in unloading is accounted for to the satisfaction of competent officer. Thus, if there is any shortage, which is not satisfactorily accounted for, the person incharge of the vessel will be liable to penalty, which may be twice the duty payable on the import goods not accounted for. [Refer Circulars No.36/95-Cus., dated 10-04-1995 , No.110/2003-Cus.,dated 22-12-2003 , No.15/2004-Cus., dated 16-2-2004 , No.30/2004-Cus., dated 16-4-2004 , No.34/2004-Cus., 13-5-2004 , No.13/2005-Cus, dated 11-3-2005 , and No.44/2005-Cus., dated 24-11-2005 ]