Case Law Details
Penanshin Shipping India Pvt. Ltd Vs Commissioner of Customs (CESTAT Chennai)
CESTAT Chennai held that adjudicating authority has ordered confiscation of red sander but refrained from confiscation of container u/s 119 and accordingly penalty u/s 114 on the appellant was not imposed. Matter remanded to re-look into the non-imposition of penalty.
Facts- The Directorate of Revenue Intelligence, Chennai Zonal Unit received specific intelligence that red sander logs are being smuggled out in the export consignment filed in the name of M/s. Polyhose India (Rubber) Pvt. Ltd. in a 20 feet container in which the goods are declared as ‘wire braided rubber hydraulic hose’.
On examination it was found that the container was loaded with red sander wooden logs. After investigation, Show Cause Notice was issued to various persons including the appellant herein. After due process of law, the original authority vide OIO dated 31.5.2019 ordered for confiscation of the red sander logs and saw dust totalling to 11,750 MTs valued at Rs.5,28,75,000/-. However, he refrained from confiscation of the container and also refrained from imposing penalty on the appellant herein.
Against this order, the department filed appeal before the Commissioner (Appeals) raising the ground that the appellant has abetted the act of smuggling of red sanders and by their act of omission / commission has rendered themselves liable for penalty u/s. 114 of the Customs Act, 1962. They prayed for modification of the OIO to the extent of non-imposition of penalty on the appellant. The Commissioner (Appeals) vide order impugned herein remanded the matter to the adjudicating authority for consideration of modification of the OIO to the extent of non-imposition of penalty u/s. 114 of the Customs Act, 1962. Hence this appeal.
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