Penalty Cannot Be Based on Statements or WhatsApp Messages Without Following Legal Procedure

Arun Kumar Vs Commissioner of Customs (CESTAT Ahmedabad) In the matter concerning the imposition of penalty under Section 114(iii) of the Customs Act, 1962, the appellant, Arun Kumar, challenged the order of the Adjudicating Authority and Commissioner of Customs (CESTAT Ahmedabad) which levied a personal penalty of Rs. 25 Lakh against him. The case arose from an alleged attempt to export “Chindis” under the guise of scarves to claim undue duty drawback benefits. Shri Vishal Punjabi, identified as the mastermind of the scheme, contacted Shri Sumit Valecha to identify a Customs House Agent (...