Pramod Kumar Verma Vs Commissioner of Customs (Preventive) (CESTAT Allahabad)
The appeal arose from Order-in-Appeal No. 617-CUS/APPL/LKO/2022 dated 05.09.2022 passed by the Commissioner (Appeals), Customs, CGST & Central Excise, Lucknow, which upheld Order-in-Original No. 50-JC/2021-22 dated 03.11.2021 issued by the Joint Commissioner, Customs (Preventive), Lucknow. The original order had imposed a penalty of Rs. 10,00,000 on the appellant under Section 112(b) of the Customs Act, 1962, ordered confiscation of Rs. 8,25,500 recovered from his residence, and initiated proceedings under Section 136 of the Act.
The appellant, who was serving as an Air Customs Officer at Lal Bahadur Shastri International (LBSI) Airport, Varanasi, challenged the orders. He stated that on 19.12.2019, officers of the Directorate of Revenue Intelligence (DRI) conducted an operation at the airport based on intelligence inputs alleging that certain passengers were smuggling goods such as gold, silver, cigarettes, and saffron, with the possible connivance of some Customs officials. The appellant claimed that he had been deputed to airport duty verbally by his superiors, Assistant Commissioner Shri B.K. Gupta and Superintendent Shri K.K. Singh, although his primary posting was in the Recovery Cell of the Customs (Preventive) Division.
During the operation, the DRI officers allegedly seized mobile phones of all Customs personnel, including the appellant, and detained them for questioning. They reportedly conducted baggage checks of passengers from three flights—Air India IX-184, Malindo OD-290, and Thai Smile WE-335—recovering 4,34,400 sticks of foreign cigarettes, 30 kg of saffron, and 5501.99 grams of gold valued at Rs. 2.67 crore. These items were seized under Sections 110 and 111 of the Customs Act, 1962.
