Dual Custodianship of same goods Not Allowed: CESTAT Ruling in Customs Act Case

Messrs Kesar Enterprise Ltd. Vs C.C.-Kandla (CESTAT Ahmedabad) In the case of Messrs Kesar Enterprise Ltd. Vs C.C.-Kandla, the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) Ahmedabad ruled against the imposition of penalties under the Customs Act, 1962. The penalties were initially levied for failure to meet the conditions of a custodianship license, particularly the requirement to insure goods stored in a Kandla port storage tank. The appellants had contended that insurance could not be obtained because the port authority was already the legal custodian, leaving no insurable in...