Devinder Pramod Vs Commissioner of Customs (CESTAT Delhi)
The appeal arose from Order-in-Original No. 51/2007 dated 16.11.2007, whereby the appellant, a commission agent, was penalized under Section 114 of the Customs Act and subjected to a redemption fine of ₹15 lakh jointly with a co-noticee. The case originated from information received from the Consulate General of India, Hong Kong, indicating that M/s Vikas Overseas had exported Ketamine to China under the guise of Alpha Olefin Sulphonate (AOS). Chinese authorities seized 1010 kg of Ketamine from the export consignment on 19.09.2005. Investigations revealed that Vikas Overseas had ceased operations in 2003 and that export invoices, packing lists, and other documents had been fabricated while misusing the IEC and name of the firm.
The appellant contended that he acted only as a commission agent involved in sourcing goods for export. However, the investigation showed that he arranged procurement of goods, logistics, coordination with freight forwarders, handling of export documentation, storage arrangements, and customs clearance through intermediaries. Statements of freight forwarders, CHA personnel, and other witnesses indicated that documents were pre-signed and that the appellant played a significant role in the export process. Four suspicious export consignments were identified, and in relation to the impugned shipment, advance foreign remittances were received in a fraudulently opened bank account operated in the name of Vikas Overseas. The appellant and the co-noticee were found to have received monetary benefits from the transactions.
