9911796707
TMI Blog1998 (2) TMI 189X X X X Extracts X X X X X X X X Extracts X X X X ..... , an opaque VPS bag was found concealed at the bottom of the drum and in that bag three transparent plastic packets were found in folded condition containing pre-shaped/preformed (worked) emeralds totally weighing 774.67 gms. valued at Rs. 10,95,122/- with duty liability of Rs. 5,69,463/-. Such worked emeralds can be imported only against specific import licence which the Appellants did not possess. 2. As regards the unworked emeralds imported, these on being evaluated by an expert panel and appraisers, were found to be over invoiced. Their value was appraised at Rs. 9,91,750/- as against declared value of Rs. 32,34,370/-. Over invoicing amounted to Rs. 22,42,620/-. 3. In answer to the Custom House queries in this regard the App ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (58) E.L.T. 268, and Skantrons v. Collector - 1994 (70) E.L.T. 635, that adjudicating authority has no power to levy redemption fine while permitting re-export. The learned Counsel also urged that penalty on the Appellant is also not justified as they were not involved in over invoicing of the goods as they had been despatched by the supplier by mistake and the Appellants were also unaware of the existence of the quantity of worked emeralds in the consignments. 7. Shri V.K. Puri, the ld. SDR contended that in the present case the Commissioner has found that the goods were liable to confiscation for misdeclaration and as unauthorised import and hence has ordered their confiscation. Redemption fine has been imposed as an option, the exe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ods are found to be offending goods and an order of confiscation is passed, then the goods shall vest in Central Government. If they are to be restored to the owner, the adjudicating authority can do so only under provisions of Section 125 which prescribes the option of a fine in lieu of confiscation. Thus Section 125 does not have a nexus with how the goods are dealt with after payment of fine in lieu of confiscation. The fine envisaged thereunder is only to get over the order of confiscation irrespective of whether the goods are cleared for home consumption or for re-export. When the importer makes a request for re-export it has been a general practice in Custom Houses to consider such a request having regard to the bona fides of such req ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... been held to be not tenable and not fine in lieu of confiscation per se. 10. In the order portion in the present case the Commissioner, after coming to the conclusion that the over invoiced rough emeralds and the concealed undeclared worked emeralds are liable for confiscation, has ordered such confiscation under Section 111 (d), (l) and (m) of Customs Act, 1962. It is followed by the option given under Section 125 of the Act to pay fine in lieu of confiscation. The goods are thereafter allowed to be re-shipped. Personal penalty has also been imposed on the Appellants. Therefore it is clear in this case that the fine in lieu of confiscation has been imposed fully in consonance with the provisions of Section 125 of Customs Act, 1962 as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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