9911796707
TMI Blog2021 (6) TMI 782X X X X Extracts X X X X X X X X Extracts X X X X ..... fore the notice for revocation was issued. In other words, the proceedings were commenced without the metaphorical starter pistol and thus renders the subsequent inquiry and impugned order to be stillborn. The emplacement of offence report within the scheme of revocation is not intended to be stultified under any circumstance and permitting of any dilution can only be at the cost of perverting the legislative intent of section 146 of Customs Act, 1962. Strict adherence to legislated empowerment cannot but be insisted upon even before merit of the detriment can be interfered with. In the light of the discussion, which takes note of the manifest lack of offence report when notice under regulation no. 17 of Customs Broker Licencing Regulations, 2018 was issued, we are constrained to negate the very proceedings that followed along with the consequences thereon in the form of revocation of licence, forfeiture of security deposit and imposition of penalty - appeal allowed - decided in favor of appellant. - C/85337/2021 - A/86188/2021 - Dated:- 6-4-2021 - MR C J MATHEW, MEMBER (TECHNICAL) AND MR AJAY SHARMA, MEMBER (JUDICIAL) Shri Arun Mehta, Advocate for the appellan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ormed by him that the charges enumerated therein involved breach of regulation no. 11(d), 11(e), 11(f), 11(m) and 11(n) of Customs Brokers Licencing Regulations, 2013 and that, despite the designated inquiry officer rendering a finding that regulation no. 11(d) and 11(m) alone had been breached, the licencing authority proceeded, after issue of notice of disagreement to the appellant herein, with the detriments on the ground of all the charges having been proved. 3. We do not wish to dilate overmuch on the invoking of several provisions from across different Regulations of 2004, 2013 and 2018 in the notice as well as in the impugned order; each of these having been superceded by the successor instrument, proceedings initiated in 2020 should have been with reference to the provisions of last of the Regulations. Though the hotch potch of references is not fatal to the proceedings, it certainly does not commend itself as reflection of responsible administering of as important an issue as that of extinguishment of the professional existence of a custom broker licence which is deserving of more meticulous scrutiny on the part of the licencing authority. It would also not be conduci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... disproportionate even for the two charges that were held as proved in the inquiry report. 6. Learned Authorized Representative, while reiterating the findings of the licencing authority in the impugned order, submits that the setting aside of the penalties proposed in the notices, and imposed in the adjudication under Customs Act, 1962,that were the basis for commencement of proceedings may not have been brought to the attention of the licencing authority in time. 7. It may not be untrue that the licencing authority was unaware of the proceedings before the Tribunal against the adjudication order that was the culmination of the process initiated in the show cause notices referred to for proposing revocation of customs broker licence. However, it was incumbent on such authority to ascertain the status before initiating proceedings on the assumption that the penalties imposed in adjudication had attained finality. Furthermore, the inquiry report, and the revocation order, failed to even acknowledge the claim of the customs broker that the proceedings could not have been initiated in the absence of offence report envisaged in Customs Broker Licencing Regulations, 2018. 8. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2), there is no need for following the procedure prescribed under Regulation 22 since such an action is taken immediately and only in justified cases depending upon the seriousness or gravity of offence. However, it has been decided by the Board that a post-decisional hearing should be given in all such cases so that errors apparent, if any, can be corrected and an opportunity for personal hearing is given to the aggrieved party. Further Board has also prescribed certain time limits in cases warranting immediate suspension under Regulation 20(2). Accordingly, the investigating authority shall furnish its report to the Commissioner of Customs who had issued the CHA license (Licensing authority), within thirty days of the detection of an offence. The Licensing authority shall take necessary immediate suspension action within fifteen days of the receipt of the report of the investigating authority. A post-decisional hearing shall be granted to the party within fifteen days from the date of his suspension. The Commissioner of Customs concerned shall issue an Adjudication Order, where it is possible to do so, within fifteen days from the date of personal hearing so granted by him. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... kept in CHA by the importers/exporters as well as by the Government Agencies. To ensure appropriate discharge of such trust, the relevant regulations are framed. Regulation 14 of the CHA Licensing Regulations lists out obligations of the CHA. Any contravention of such obligations even without intent would be sufficient to invite upon the CHA the punishment listed in the Regulations.... We approve the aforesaid observations of the CEGAT, West Zonal Bench, Mumbai and unhesitatingly hold that this misconduct has to be seriously viewed. in the impugned order serves not only as imprimatur for admonition of customs brokers but also to enunciate restrictions to the intervention powers of the licencing authority. That follows from the means to livelihood afforded to the customs broker as well as the standing accorded to the customs broker within the commercial world upon issue of licence; there is a concomitant responsibility to deprive a customs broker of both only after proper application of mind demonstrated by conformity with procedure enshrined in the Regulations. If the offence report is but a trivial technicality, it would be permissible for the licencing authority, wh ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
