9911796707
TMI Blog2004 (6) TMI 96X X X X Extracts X X X X X X X X Extracts X X X X ..... ted 17-5-1999 and out of those, the Company disposed of two machines without seeking prior permission from the competent authority in violation of the Exim Policy 1997-2002. Therefore, those two machines were ordered to be confiscated under Section 111(d) and 111(o) of the Customs Act. Since the machines were not available for confiscation, the adjudicating authority did not pass any order regarding the confiscation of the same. However, a penalty of Rs. 5 lakhs has been imposed on the company appellant No. 1. 3. Regarding the other two machines, there is no allegation of their disposal by the company Appellant No. 1. These machines had been ordered to be confiscated under Section 111(d) and 111(o) as the company had failed to put the sam ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aw laid down by the Tribunal in the above referred case. The CIF value of the goods disposed off is Rs. 4,15,200/- and as such, the penalty has to be 5% of that value. Accordingly, penalty is reduced to Rs. 30,000/-. 6. Regarding the confiscation of other two machines which have not been sold by the appellants, but are alleged to had not put by them to actual use, the Counsel has contended that since no time-limit under the Exim Policy has been laid down within which the machines were put to actual use by the appellant-company, the same could not ordered to be confiscated and no penalty could also be imposed for non-user of the same, on the appellant-company. 7. The learned DR had contended that since the appellants had failed to put th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contested by the learned DR by arguing that penalty imposed is reasonable. But keeping in view all the above referred discussion and that appellant No. 2 is only one of the Directors of the Company and no specific role has been attributed or proved, against him, the penalty deserves to be reduced and the same is reduced to Rs. 30,000/-. 10. In the light of discussion made above, the impugned order stands modified accordingly. The appeals of the appellants stand disposed of in above terms with consequential relief, as per law. The penalty amount shall be appropriated from the pre-deposit amount of the appellants and the balance amount of pre-deposit shall be refunded to them as per law within two months. - - TaxTMI - TMITax - Cust ..... X X X X Extracts X X X X X X X X Extracts X X X X
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