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1986 (7) TMI 111

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..... ded. The Customs Intelligence Officer attached to Dock Intelligence Unit of Customs Preventive Collectorate, in pursuance of the secret information, boarded the ship and searched the cabins of the crew members. During the search, the cabin of sailor Marcellus Lumenpouw, five brown paper wrapped cartons were found hidden in a cupboard. The sailor produced the keys of the cupboard. Five cartons contained 600 pieces of Sharp Elsimate EL-220 Calculators made in Japan and valued at Rs. 1,80,000/- local price. The calculators were not declared by the crew member, in the private property declaration form, as required under the provisions of the Customs Act. The calculators were seized by the Customs Officer under panchnama. The customs authorities .....

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..... . The Additional Collector came to the conclusion that the Master of the Ship was aware and had knowledge that the crew member was smuggling the calculators. The order of adjudicating Officer is under challenge in Writ Petition No.2441 of 1982 filed under Article 226 of the Constitution of India on October 26, 1982. 4. Shri Venkiteswaran, learned counsel appearing on behalf of the petitioners, while challenging the order of adjudication providing for confiscation of the vessel, submitted that the conclusion reached by the Additional Collector that the sailor smuggled the calculators with the knowledge and connivance of the Master of the ship is not correct. Before examining the submission of the learned counsel, it is necessary to state t .....

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..... authority observed that the Master of the ship is presumed to have knowledge of the Customs law prevailing in this country. It was further observed that the vessel had come from Singapore and it is unlikely that the goods would have come on board without Master's knowledge, and, in any event, it is unlikely that the discerning master could not detect the goods. It is difficult to proceed on such assumption in an enquiry which is quasi criminal in nature. The adjudicating authorities noticed that the contraband articles were igeniously concealed and could not be seen by opening the cupboard and if this finding is correct, it is difficult to held that the Captain would have detected it by taking reasonable precaution. There is no material on .....

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..... ure the bond from the ship owner including the clause whereby undertaking is given to pay the fine which is likely to be imposed on the crew member. Shri Venkiteswaran then submits that in case, in the adjudication proceedings, the authority comes to the conclusion that neither the ship-owner, nor the Master of the ship had connived in the act of smuggling with the crew member or had any knowledge of such act of smuggling, then in that event bond should not be enforced against the ship owners in respect of penalty imposed on the crew member. In my judgment, the submission is correct and it is necessary that the Customs authorities while securing the bond of the ship owners should add rider in the clause whereby the undertaking is secured fo .....

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