Penalty u/s 114AA leviable on person who causes to have made, signed or used any false declaration or fraudulent document

I.C. Kannan Vs Commissioner of Customs (CESTAT Chennai)

CESTAT Chennai held that penalty under section 114AA of the Customs Act is leviable on person who causes to be made, signed or used any false declaration or fraudulent document

Facts- The Directorate of Revenue Intelligence, Chennai Unit, on receipt of specific intelligence that gold jewellery and other commercial goods are being smuggled from Singapore through Courier parcels booked through M/s UPS Jet Air Express Pvt Ltd and arriving by Flight, arranged for surveillance of the clearance of the courier parcels.

On verification of the address of the consignee, it revealed that no person is available by the such name in the said address. Border Clearance Officer of M/s.UPS Jet Air Express Pvt. Ltd. was summoned and his statement was recorded u/s. 108 of the Customs Act, 1962.

Based on the above investigations, present show cause notice was issued u/s. 124 of the Customs Act, 1962 against the appellant. After due process of law, the original authority imposed a penalty of Rs.10 lakhs on Shri I.C. Kannan u/s. 112 (a) of the Customs Act, 1962 and a separate penalty of Rs.25 lakhs u/s. 114AA of Customs Act, 1962.

Please become a Premium member. If you are already a Premium member, login here to access the full content.