Case Law Details
Shyam Singh Vs Commissioner (CESTAT Delhi)
CESTAT Delhi held that imposition of harsh punishment of revocation of Customs Broker Licence in absence of any active or passive facilitation in mis-declaration and undervaluation of imported goods unjustified.
Facts- The present appeal has been preferred by the appellant (Customs Broker) against OIO whereby the the Customs Broker License of the appellant was revoked, the security deposit was forfeited and penalty of Rs. 50,000/- was imposed.
Notably, the matter was adjudicated by the Commissioner of Customs and relying on the voluntary statement made by the appellant under Section 108 of the Act concluded that CB did not verify the value of the goods before filing the subject bills of entry, he aided the importer in the undervalued import and thereby led to the attempt to importation of mis-declared / overvalued goods and therefore fails to comply with the obligations cast upon him under the provisions of CBLR, 2018. The Adjudicating Authority specifically observed that the Customs Broker with malafide intention and knowingly abetted illegal import of the consignments involving gross mis-declaration and undervaluation.
Conclusion- The main and substantial allegation against the appellant is that he had sublet his licence for monetary consideration. Having upheld the subletting of the licence by the appellant we have consequently upheld the other violations under regulation 10 (a), (n), (d) and (e) CBLR, 2018 as after submitting the licence the appellant was in no manner in control of the transaction and any actions thereof and therefore had no knowledge of either the importer firms or its Proprietor or the KYC documents and hence could not have discharged his further obligations under the Regulations.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Author Bio
