9911796707
TMI Blog2005 (6) TMI 125X X X X Extracts X X X X X X X X Extracts X X X X ..... evenue proceeded against him by issue of Show Cause Notice dated 15-11-1999. The original authority confiscated the car absolutely and imposed a penalty of Rs. 1,00,000/- on the appellant vide Order in Original 6/2000, dated 4-2-2000. The appellant appealed to the Commissioner (Appeals) who vide Order No. 140/2000, dated 7-4-2000 ordered pre-deposit of Rs. 50,000/- as a condition for hearing the appeal under Section 129E of the Customs Act. The Commissioner (Appeals) in his Order in Appeal No. 11/2002-Cus., dated 25-1-2002 ordered release of the car on payment of Redemption fine of Rs. 1,00,000/- and further he reduced the personal penalty to Rs. 50,000/-. The appellant addressed the department vide his letters dated 7-2-2002, 20-3-2002 and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rder in appeal 11/2002, dated 25-1-2002, wherein the appellant was allowed to redeem the car has become final as there was no appeal against that order by the Revenue. Hence it is binding on the respondent to implement that order and release the car. Instead, to cover up the lapses of his Officers who sold the car while appeal proceedings of the appellant before the Commissioner (Appeals) was pending respondent justified their action of disposal of the car in accordance with law, which is contrary to judgments of the Hon'ble Supreme Court, High Court and Tribunals. (ii) Even though the following judgments were cited before the respondent he distinguished the judgments and rejected the request of the appellants. • Sprin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... R reiterated the points in the Order in Original. 6.We have gone through the records of the case carefully. Every citizen knows that the order passed by a judicial authority is not final. There is always recourse to appellate forum. When an Assistant Commissioner passes an order it is not a final order. There is a provision for appeal. When an Additional Commissioner passes an order that is also not final. The appellant can always appeal to the Commissioner (Appeals) under Section 129 of the Customs Act. When the Commissioner (Appeals) orders pre-deposit of an amount it means that he is going to take up the case for examining the Order in Original passed by the Additional Commissioner. When the Additional Commissioner absolutely confiscat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e car and other articles found in the car. Further as per Section 126 of the Customs Act, 1961, on confiscation, the property vests in Central Government. Therefore, the department was free to deal with the goods in any manner deemed fit in accordance with law. Hence the car was disposed on 14-8-2001 pursuant to the Order-in-Original as there was no impediment for the department to sell the same." 7.The moment Commissioner (Appeals) orders payment of pre-deposit, the order of the Additional Commissioner remains only in suspended animation. It has no finality. Department cannot sell the car saying that it has been confiscated absolutely. 8.In our view it is an irresponsible act on the part of the Revenue to have disposed of the car witho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ior to putting the goods in question to auction, it was expected that the petitioner would atleast be put to notice that on payment of additional duty it could get the imported goods cleared. It is really also a matter of great surprise that the Airport Authorities also sold the goods within two days of the receipt of the list of such goods." 11.The observations of the Hon'ble Apex Court in the Shilps Impex case are reproduced below : "2. After hearing the Counsel for the parties, it is quite evident that the petitioner-firm was entitled to receive from the respondents Rs. 4,35,000/-, being the price of the goods, Rs. 1,80,000/- which he had paid as duty, Rs. 2,00,000/- for the redemption fine which was paid and a sum of Rs. 50,000/- wh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... acy. It appears that the remedy is worse than the disease. 15.In view of our observations, we hold that the ratio of all the above-mentioned cases is squarely applicable to the present case. It is very clear that the department has sold the goods on the understanding that the first order of the original authority is the final order. In other words when the appeal was pending the car has been sold without informing the petitioner and also the Commissioner (Appeals). Hence the appellant is entitled for the full mahazar value of the car. Since the goods were not released to the appellant as per the order in appeal neither the duty nor the penalty is chargeable from the appellant, as the goods have disappeared for no fault of the Appellant. H ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
