9911796707
TMI Blog2014 (12) TMI 1076X X X X Extracts X X X X X X X X Extracts X X X X ..... facts of the case are that the appellants are Money Exchangers. On 21-9-1997, a person namely Shri Essack Farid Shaikh was intercepted and travellers' cheques, foreign currencies, etc., were recovered. An investigation was conducted. During the course of investigation, it was revealed that the appellant (Rose Travels) issued travellers cheques of US $ 3,000 each to four persons which were found in the custody of the person namely Shri Essack Farid Shaikh on 21-9-1997 and travellers cheque of US $ 500 was issued by M/s. Wall Street Finance Ltd. Therefore, notices were issued to the appellants to show cause why penalty should not be imposed on them for aiding and abetting for smuggling of foreign currency. Later on an addendum was issued whic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nalty on the appellant is not sustainable. 5. Shri Sushanth Murthy, learned Advocate appearing for the M/s. Wall Street Finance Ltd. submits that they have issued these travellers cheques in the year 1995. At that time guidelines issued by RBI are not applicable. Therefore, they did not obtain any copy of the application from the applicant. Moreover, the recovery after a period of 2½ years and from the third party does not implicate that the appellant in the offence of aiding and abetting for smuggling of the foreign currency. He relied on the decision of the Tribunal in the case of Trade Wings Ltd. v. CC - 2009 (243) E.L.T. 439 (Tri.-Mumbai) to support his contention that the lack of care and diligence shown by the appellant i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e appellant was not due diligence at the time of issuance of the travellers cheques which may be used in smuggling of foreign currency, the allegation is not sustainable. Therefore, following the decision of the Trade Wings Ltd. (supra), I set aside the penalty imposed on the appellants. 8.1 With regard to the penalty imposed on M/s. Rose Travels, I find that the appellant has produced the application form and passport of the persons to whom the travellers cheques were issued. The Revenue's contention is that two of the addresses are not available but these addresses are available in the passports and the passport is an authenticate document to ascertain the postal address of a person. In fact the address of a person is to be verified ..... X X X X Extracts X X X X X X X X Extracts X X X X
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