Commissioner of Customs Vs Jaiswal Import Cargo Services Ltd (Delhi High Court)
Delhi High Court held that Customs Broker failure to oversee the clearance and the warehousing of the goods imported with intention to re-export leading to diversion of the goods in the domestic market is a clear violation. However, suspension of license for 13 months is sufficient.
Facts- The present appeal has been filed u/s. 130 of the Customs Act, 1962, inter alia, challenging the Final order dated 2nd January, 2025 passed by the Customs, Excise, Service Tax Appellant Tribunal. Vide the impugned order, the CESTAT has set aside the Order-in-Original dated 23rd February, 2024.
Vide the said Order-in-Original, the customs brokers license of Respondent – M/s Jaiswal Import Cargo Services Ltd., was suspended due to non-compliance of the Customs Brokers Licensing Regulations, 2018.
Conclusion- Held that there is no doubt that Customs Brokers do have significant responsibility under the CBLR 2018 which ought to be performed with diligence and commitment. The fact that the Respondent did not oversee the clearance and the warehousing of the goods leading to diversion of the goods in the domestic market is a clear infraction. However, the Respondent has already suffered in its business for 13 months. Applying the principle of proportionality, this Court is of the opinion that the suspension/ revocation for a period of 13 months is a sufficient period considering the nature of violation.
