Ashtvinayak and Company Vs Commissioner of Customs (Preventive) (CESTAT Allahabad)
Summary: CESTAT Allahabad partly allowed the appeal of M/s Ashtvinayak and Company arising from the import of readymade garments and accessories from China in which 100% examination revealed substantial variation in quantity and description as well as undeclared branded goods. The appellant had filed Bill of Entry No. 4699807 dated 30.08.2019 for 32 packages supplied by M/s Nand Enterprise Co. Ltd. The declared value was Rs.5,51,179/- and Customs duty of Rs.1,95,556/- had been assessed and paid. On examination, however, Customs found goods bearing brands including Adidas, Nike, Louis Vuitton, Burberry, Gucci, Under Armour, Armani, Diesel DNA, GAP and Hugo Boss, besides other undeclared goods. The proprietor stated under Section 108 of the Customs Act, 1962 that he had ordered only unbranded garments and accessories and suggested that the presence of branded goods could have resulted from a packing mistake by the foreign supplier.
The adjudicating authority ordered absolute confiscation of specified undeclared branded goods, confiscation of other undeclared goods with an option of redemption, and confiscation of declared goods valued at Rs.5,58,126/- which had been used for concealment. Redemption fine of Rs.85,000/- was imposed in respect of the declared goods and a penalty of Rs.4,00,000/- was imposed under Section 112(a) & 112(b) of the Customs Act, 1962. The Commissioner (Appeals) upheld the adjudication order.
