P T Varghese & Company Vs Commissioner of Customs (CESTAT Bangalore)
The Customs, Excise and Service Tax Appellate Tribunal (CESTAT), Bangalore, considered an appeal concerning the revocation of a Customs Broker License, forfeiture of security deposit, and imposition of penalty under the Customs Brokers Licensing Regulations (CBLR), 2018. The proceedings were initiated following allegations that the appellant assisted overseas cargo companies in misusing provisions of the Baggage Rules, 2016.
According to the case record, a baggage consignment filed by the appellant was declared to contain 45 packages of “personal effects and household goods,” including used kitchen items, stove, weighing scale, tools, wire rolls, crockery, stationery, toiletries, and other household articles. Most items were assessed duty-free under Rule 6 of the Baggage Rules, and customs duty of ₹1,925 was collected on certain miscellaneous items such as toiletries and cosmetics. However, the Special Intelligence and Investigation Branch (SIIB) re-examined the packages and prepared a revised inventory. Based on this inventory, the value of the consignment was assessed at ₹1,14,520 as against the declared value of ₹27,000. The goods were seized on the ground of mis-declaration, and statements of the appellant and the passenger were recorded. The investigation alleged that the appellant had colluded with an overseas cargo company to clear consolidated cargo belonging to multiple persons using the passport of a passenger, thereby causing revenue loss.
