9911796707
TMI Blog2015 (2) TMI 300X X X X Extracts X X X X X X X X Extracts X X X X ..... process of reasoning much less a perceptible process of reasoning. The reduction of penalty without disclosing as to how the penalty is on a higher side, must necessarily be held to be arbitrary. At this stage, it would be appropriate, to point out that penalty has to be calculated under Section 114 of the Customs Act, 1962 and the respondents may be liable either under Section 114(2) or Section 114(3) of the Customs Act, 1962 depending on the date of confiscation and the nature of the provisions in force on the relevant date. The maximum possible penalty was ₹ 15.30 crores but the adjudicating authority imposed a total penalty of ₹ 1.75 crores. The CESTAT has reduced penalty to ₹ 12 lacs without assigning any clear and co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and Regulation) Act, 1992. Counsel for the respondents submits that the issue of allowing redemption, has been rendered infructuous as the respondents did not redeem the goods within the time prescribed by the CESTAT. As regards penalty, counsel for the respondents submits that as discretion exercised by the CESTAT is neither perverse nor arbitrary and as Section 114 of the Customs Act, 1962 empowers the CESTAT to assesss penalty, the penalty so assessed, may be affirmed. We have heard counsel for the parties and perused the impugned order. A large number of consignments, sought to be exported by the respondents, were apprehended by customs authorities. After a detailed scientific examination of the goods, it was found that the go ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the higher side. The interest of justice will be met, if the penalties are imposed as under: - (i) SRG International ₹ 2 lakhs (ii) SRG Forge Overseas Ltd. ₹ 1 lakh (iii) Ragini Steels Pvt. Ltd. ₹ 2 lakhs (iv) Garg Forging Castings Ltd. ₹ 2 lakhs (v) Goodwill Impex ₹ 2 lakhs (vi) Shri Vinod Kumar Garg ₹ 2 lakhs (vii) Shri Narsi Das ₹ 1 lakh A perusal of the aforesaid extract reveals that the CESTAT has affirmed int ..... X X X X Extracts X X X X X X X X Extracts X X X X
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