Samudera Shipping Line (India) Pvt. Ltd. Vs Commissioner of Customs (Port) (CESTAT Kolkata)
LEO would have signed by customs before export: CESTAT deleted penalty u/s 114
Appellant is acting as a steamer agent carrying out import and export activities on behalf of various clients. It was the case of the department that appellant had not followed proper procedures and had exported goods for which the Let Export Order (LEO) (final step required to export goods out of India) had been cancelled. A penalty of Rs. 2,00,000/- u/s 114 of the Customs Act was imposed. Appeal preferred by the assessee was dismissed.
It was argued by the appellant that the exporter had asked them to cancel the first set of documents and wanted to export the same through another shipping line. Appellant informed the exporter after 21 days that it was able to carry the container exported by them through same ship. Documentation was completed but it was informed by the exporter that they were planning to cancel the exports, and exporter did not inform any further. After going through the website of the customs which showed details of the consignment as “ready for shipment”, it was presumed by appellant presumed that there was no bar for loading the consignment in the concerned ship and accordingly, they loaded the same. Adjudicating authority has recorded in the order that it has allowed the regularization of shipping bill. Actual export had taken, and even foreign remittance has been received. On the other hand, it was argued by revenue that appellant is liable to penalized u/s 114 as it loaded the consignment on the ship which despite the fact that LEO was cancelled by the Customs authorities.
