Penalty Upheld on CHA for Lending Licence Without Due Diligence Leading to Smuggling

Jeyam & Co. Vs Commissioner of Customs (CESTAT Chennai) The case concerns the imposition of penalty on a Customs House Agent (CHA) under Section 114(i) of the Customs Act, 1962 for allegedly facilitating the attempted smuggling of prohibited goods. The appellant challenged the Order-in-Original dated 30.10.2015 passed by the Commissioner of Customs, Chennai-IV, which imposed a penalty of ₹2.10 crore. The facts indicate that the appellant, acting as a Customs Broker, filed a shipping bill for export of polished granite slabs to Dubai. Based on intelligence regarding smuggling of red sande...